Midwestern

Filing income tax means financial gain for low income earners

The Grey Bruce Community Volunteer Income Tax Program (CVITP) Case Study found filing income tax returns can result in significant financial benefits for local people enduring poverty.

Grey Bruce Poverty Task Force coordinator Jill Umbach explained the free income tax programs offered at The Meeting Place in Tobermory and the South East Grey Community Health Centre in Grey Bruce resulted in income benefits, tax credits, and refunds across the five municipalities the serve in 2022.

"Over a million dollars came back and it helped 332 residents file their taxes," said Umbach. "And when we average that out, that was probably around an additional $3,100 per person."

The study by the Bruce Grey Poverty Task Force, the United Way of Bruce Grey, and the Grey Bruce Community Foundation found free income tax preparation programs could contribute to a potential return of $11 million to households in Bruce, Grey, and Huron Counties.

"We know that in the three counties, Bruce, Grey, and Huron county, we know that there's close to 40,000 people that are eligible for the free Income Tax Program," Umbach added. "And we know that in 2022, 3,550 returns were filed by 3,050 people. So there's a larger number of people that are eligible for this free income tax program, than we know we're actually using it."

"From CRA data, know that the larger Canada-wide profile of who doesn't file their tax return, 10 to 20 per cent of people don't file, and they're largely people with low income and largely people who rent," she pointed out.

“There are too many people across Grey Bruce facing poverty and in need of support. The Community Volunteer Income Tax Program has been instrumental in assisting many constituents file their taxes to ensure they have access to important government benefits and entitlements. This latest study shows just how impactful this program along with our dedicated community volunteers are in helping those in need. My thanks to all those involved for #makingadifference.” said Grey Bruce MP Alex Ruff.

The Meeting Place helped 62 residents in North Bruce Peninsula access $281,932 in income benefits, tax credits and refunds after filing 76 returns. On average, each beneficiary received $3,710, with some individuals filing more than one year. South East Grey Community Health Centre helped 270 individuals in four municipalities (Southgate, Grey Highlands, West Grey and Chatsworth) access $883,596 in income benefits, tax credits and refunds after filing 300 returns. On average, each beneficiary received $2,945 ($2,945.32).

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