Paul L. Caron
Dean




Tuesday, May 4, 2021

IRS Seeks Grant Applications For Funding Low Income Taxpayer Clinics

LITC

The IRS has announced (IR-2021-100) that it is accepting grant applications through June 18 for Low Income Taxpayer Clinics for the 2022 grant cycle (Jan. 1 - Dec. 31, 2022):

The LITC Program is a federal grant program administered by the Office of the Taxpayer Advocate at the IRS, which is led by National Taxpayer Advocate (NTA) Erin M. Collins. LITCs can make a tremendous impact on the lives of taxpayers, as detailed in this recent blog from the NTA:  Not all Superheroes Wear Capes: Join the Low Income Taxpayer Clinic Community and Be a Hero to Taxpayers Most in Need.

Under Internal Revenue Code (IRC) Section 7526, the IRS awards matching grants of up to $100,000 per year to qualifying organizations to develop, expand or maintain an LITC. An LITC must provide services for free or for no more than a nominal fee.

Qualified organizations that are awarded grants ensure the fairness and integrity of the tax system for taxpayers who are low-income or speak English as a second language (ESL) by providing pro bono representation on their behalf in tax disputes with the IRS, educating them about their rights and responsibilities as taxpayers, and identifying and advocating on issues that impact these taxpayers.

The IRS is committed to achieving maximum access to representation for taxpayers under the terms of the LITC Program. In awarding LITC grants for calendar year 2022, the IRS will continue to work toward providing coverage for all states and territories. Although the IRS welcomes all applicants and will give each application due consideration, the IRS is particularly interested in applicants from the following underserved areas in need of LITC services:

  • Arizona - Gila County
  • Florida - Brevard, Citrus, Flagler, Hernando, Lake, Orange, Putnam, Seminole, and Sumter Counties
  • Idaho - Ada, Adams, Bannock, Bear Lake, Bingham, Boise, Bonneville, Butte, Canyon, Caribou, Clark, Clearwater, Custer, Franklin, Freemont, Gem, Idaho, Jefferson, Latah, Lemhi, Lewis, Madison, Nez Perce, Oneida, Owyhee, Payette, Power, Teton, Washington, and Valley Counties
  • Nevada - Entire state
  • North Dakota - Entire state
  • Pennsylvania - Bradford, Clinton, Lycoming, Monroe, Northumberland, Pike, Snyder, Sullivan, Susquehanna, Tioga, and Wyoming Counties
  • Puerto Rico - Entire territory
  • West Virginia - Entire state
  • Wyoming - Entire state

LITC grants come from appropriated funds. The clinics, their employees and their volunteers operate independently from the IRS. Examples of qualifying organizations include:

  • Clinical programs at accredited law, business, or accounting schools whose students represent low-income taxpayers in tax disputes with the IRS; and
  • Organizations exempt from tax under IRC Section 501(a) whose employees and volunteers represent or refer for representation low-income taxpayers in tax disputes with the IRS.

The IRS is authorized to award multi-year grants not to exceed three years. For an organization not currently receiving a grant for 2021, an organization that received a single-year grant for 2021, or an organization whose multi-year grant ends in 2021, the organization must submit a full grant application electronically. For an organization currently receiving a grant for 2021 that is requesting funding for the second or third year of a multi-year grant, the organization must submit a request for continued funding electronically. All organizations must use the funding number of TREAS-GRANTS-052022-001. Both Full Applications and Non-Competing Continuation Requests must be submitted by 11:59 p.m. Eastern time on June 18, 2021.

Questions about the LITC Program or grant application process can be addressed to the LITC Program Office at 202-317-4700 or by email at litcprogramoffice@irs.gov. In addition, individuals may contact Bill Beard at 949-575-6200 or by email at beard.william@irs.gov.

More information about LITCs and the work they do to represent, educate and advocate on behalf of low-income and ESL taxpayers is available in IRS Publication 5066, LITC 2020 Program Report. A short video about the LITC program is also available.

Interested individuals may join LITC Program Office staff for a Zoom webinar, where staff will provide information about the LITC Program and the application process. For details on the date and time of the webinar, please check the LITC page on IRS.gov.

https://taxprof.typepad.com/taxprof_blog/2021/05/irs-seeks-grant-applications-for-funding-low-income-taxpayer-clinics.html

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