Miami, FL – July 12, 2005 – The City of Miami’s Department of Community Development announced their most successful tax preparation campaign to date, which assisted over 9,000 low- to moderate-income residents with free or low-cost tax preparation services. After extensive analysis, results show that efforts made during the 2005 tax year accounted for just over $20 million in total refunds, a dramatic increase from the city-wide campaign in 2004, which logged approximately $1.5 million in refunds.

“The success of our Tax Preparation Campaign is clear given that 80% of eligible residents now claim Earned Income Tax Credits,” said Mayor Manny Diaz. “We have rid ourselves of the shameful distinction of being the poorest large city in the nation and will continue our efforts in seeking new, innovative approaches to eliminate poverty.”

The significant jump coincides with the new, creative outreach campaign created and unveiled by the City’s Department of Community Development, which offered three distinct service options for filers. First, free tax preparation sites were open to all City residents with convenient locations at select public schools, two “super sites” - the Orange Bowl and Corpus Christi Catholic Church, and a new corporate partner - two Office Depot stores. The department also rolled out the free internet-based, counselor-assisted Benefit Bank™ program, which processes federal tax returns while checking on the filer’s eligibility for other social service benefits, at 11 of the City’s NET (Neighborhood Enhancement Team) offices. Finally, a successful partnership with the nation’s largest tax preparation firm, H&R Block, was introduced with H&R Block offering drastically discounted services to low-income residents at 11 offices, three of which were new for 2005 within the City of Miami. The company extended the opportunity for filers to open an Individual Retirement Account (IRA) as well, an option over 470 city residents took advantage of this year alone.

“Our goal is to help our City residents increase and accumulate assets as much as possible, especially for low-income individuals and families, and this year’s results show that our new campaign has been extremely effective,” said Barbara Gomez-Rodriguez, Director of the City of Miami’s Department of Community Development. “We helped 9,258 City of Miami residents and saved them over $800,000 in fees. We hope to increase that number two-fold, next tax season.”

In addition, a proactive agreement was reached regarding the facilitation of Refund Anticipation Loans within the H&R Block sites that partnered with the City. These offices reported an overall 9.7% decrease in Refund Anticipation Loans. The latter are higher-interest loans extended to those seeking a faster return, and can take a significant percentage out of a low-income working family’s refund. Due in part to this year’s successful campaign, H&R Block is set to extend their partnership with the City of Miami and add another six preparation sites throughout the City next tax season. Those interested should note that in order to qualify for the discounted tax preparation rates offered by the H&R Block/City of Miami partnership, those filing must qualify for the Earned Income Tax Credit (EITC), have a household income that does not exceed $35,000 per year, and visit one of the designated H&R Block offices.

About the Department of Community Development:
The Department of Community Development utilizes the grant funds it receives from the federal, state and local government sources to aid in the development of a viable urban community. The thrust of this objective is to provide decent housing, a suitable living environment and the expansion of economic opportunities for the neediest persons in our community. The Department serves as an advocate for disenfranchised and economically disadvantaged residents by carrying out a wide range of community development activities directed toward neighborhood revitalization, economic development, improved community facilities and services, and assisting those least likely to benefit from the economic growth and prosperity projected for the City of Miami. For more information, please visit: http://www.ci.miami.fl.us/communitydevelopment/.

About H&R Block:
Celebrating its 50th anniversary in 2005, H&R Block is the world’s largest tax services provider, having served more than 400 million clients since 1955. The sixth largest retailer in the world, H&R Block has more than 12,000 locations serving taxpayers primarily in the United States, Canada and Australia.

H&R Block’s subsidiaries deliver tax services and financial advice, investment and mortgage services, and business accounting and consulting services. H&R Block Financial Advisors Inc. offers investment services and securities products. With approximately 1,000 financial advisors serving clients at approximately 270 locations, H&R Block Financial Advisors is a member NYSE, SIPC, a registered broker-dealer and investment advisor. H&R Block Inc. is not a registered broker-dealer and is not an investment advisor. H&R Block Mortgage Corp. offers a full range of retail mortgage services. Option One Mortgage Corp. provides mortgage services and offers wholesale mortgages through large financial institutions and a network of 24,000 independent mortgage brokers. RSM McGladrey Business Services Inc. and its subsidiaries serve mid-sized businesses and their owners with tax, accounting and business consulting services, as well as personal wealth management services. H&R Block Small Business Resources is a new business currently operating in 14 U.S. cities that serves the tax, financial and business needs of small business owners. H&R Block Small Business Resources is not a licensed CPA firm. For more information about the company, visit our Online Press Center at www.hrblock.com/presscenter.

Editorial Note: For exact figures on the City’s 2005 Tax Campaign results, please contact cbermudez@ci.miami.fl.us.