Ana Raposo, Senior Tax Specialist with the Internal Revenue Service, demonstrates to Mayor Manny Diaz the benefits that individuals can receive when filing their income taxes at free tax preparation sites in the city.  Photo Credit: Jorge R. Perez/City of Miami

(Miami, FL)- Miami Mayor Manny Diaz today held a press conference to urge residents to use free tax preparation services before the April 15 deadline and receive increased benefits this year from the federal government thanks to the Economic Stimulus Bill.

“A single mother with two children earning just $15,000 can be eligible for up to $11,300 in combined state and federal benefits if her taxes are filed properly,” said Mayor Diaz. “Those benefits equal 78% of her take home income. If she comes to one of our free preparation sites she can be sure of what benefits she is entitled to without paying a dime for the service.”

At the press conference, information was provided regarding City-sponsored locations that offer free tax preparation services as part of this year’s Earned Income Tax Credit (EITC) Campaign. Eligible residents who file their tax returns at these sites can learn if they qualify to receive a federal income tax refund. The City’s free tax preparation sites are also equipped with Benefit Bank, a system that connects individuals with Federal and State benefits, such as Food Stamps, cash assistance and Medicaid.

Due to new measures in the economic stimulus bill, this year increased benefits include: a recovery rebate credit, a one-time benefit of up to $600 for people who didn't receive the full economic stimulus payment last year; new withholding tables that have resulted in more take-home pay this spring for millions of American workers; and a one-time payment to retirees and veterans disability beneficiaries of $250 sent to them directly by the Social Security Administration. 

Future benefits for tax returns filed for 2009 will include: first time homebuyer tax credit of up to $8,000, increase in EITC return, suspension of taxation on the first $2,400 of unemployment benefits, and a partially refundable tax credit up to $2,500 for higher education expenses. 

For more information about the City’s free tax preparation sites and Benefit Bank services, please visit www.accessmiamijobs.com or call 311.

For more information about federal tax benefits and filing your income taxes, please visit www.irs.gov