A campaign to strengthen families nationwide
ACORN is planting the seeds of activism about the Earned Income Tax Credit among its 150,000 member families in 60 cities across the country.

The Association of Community Organizations for Reform Now is the largest organization of low and moderate-income families, with 750 neighborhood chapters nationwide.

Better housing, better schools, better wages and business investment in local communities are the causes that ACORN fights for, and EITC fits well into its mission. The grassroots organization is using a variety of methods to promote EITC, free tax preparation and combat the predatory lenders who prey on low-income families.

ACORN has free tax preparation sites in 10 cities, some run out of ACORN offices, and "we're partnering in many other cities with other groups who are doing EITC work," says Allison Conyers, communications coordinator for ACORN national.

On Jan. 13, ACORN launched a national campaign in 43 cities against predatory lenders who offer Refund Anticipation Loans (RALs) at high interest rates so that people can get their tax refund money back a few days faster. The campaign urges families who may be eligible for EITC to file and to use free tax preparation sites "so they don't have to pay to have their taxes prepared," says Conyers. The IRS has Volunteer Income Tax Assistance sites nationwide, and community coalitions in 188 communities offer free tax preparation as well.

The Louisiana ACORN in New Orleans chapter started a free tax preparation and EITC awareness program this year. Twenty members go door-to-door in low-income neighborhoods, telling people about where to get taxes done free in their community. Residents are urged to take a short survey that reveals if they might be eligible for EITC money.

People who are eligible get a follow-up phone call, says ACORN head organizer Stephen Bradberry. "Initially, there was doubt as people ask ‘what does free tax preparation mean.' There are so many businesses that charge you for e-filing. Ours is totally free, but there is that initial reluctance."

The ACORN office enlisted five volunteers who do taxes free from 4-8 p.m. Monday through Friday and 10 a.m. to 2 p.m. on Saturdays through April, says Bradberry. The goal is to prepare taxes free for 750 people. As of mid-February, ACORN had done about 500.

Part of the canvassing program has been educating people about Refund Anticipation Loans. Predatory lenders often tell people if they don't get the RAL, they must wait four to six weeks to get tax money bank. "The truth is, if someone has a bank account, they can receive it in 8 to 10 days free from the IRS," says Bradberry.

ACORN is promoting EITC among its members and their neighbors in several ways:

• Providing information on where free tax preparation sites are located in their communities.
• Distributing fliers with information about predatory lenders and the high cost of RALs "Last year, $1 billion was lost to predatory lenders through Refund Anticipation Loans," says Conyers. "That's money taken away from the federal government and taxpayers. We want to get the word out there about this. People don't know interest rates are so high."
• Talking with local media about EITC and RALs
• Targeting predatory lenders with demonstrations against their RAL policies
• Working with legislators to continue federal support for EITC
• Canvassing local neighborhoods to put the word out
• Using its own communications channels to broadcast the word about EITC. ACORN has two radio stations, one in Texas and another in Arkansas, that offer programming about free tax preparation. ACORN also sends out an emailed newsletter every two weeks to its 10,000 subscribers. Subscribe.