HOUSTON – August 11, 2007 Working families earning less than $39,000 have received more than $11 million in tax refunds through June by visiting one of 24 free tax preparation sites operated by trained volunteers through the Volunteer Income Tax Assistance (VITA) program, administered in Houston by Houston Asset Building Coalition. Although these are not final numbers, the refunds to date represent a 24% increase over what was prepared through the program in 2006.

Significantly, these families brought nearly $3.5 million back to the Houston economy through the Earned Income Tax Credit, or 5.5% more than in 2006. Nearly $2.2 million, or 18.7% more than 2006, came back to Houston through the child care tax credits, according to figures provided by the Internal Revenue Service. These refunds came from 7,455 returns that were either electronically filed or submitted on paper and accepted by the Internal Revenue Service through this program. The number of electronically filed returns grew 8% from last year. A more complete number is expected in September.

"Assuming that it would cost a family at least $150 in tax preparation fees, we believe that the Houston Asset Building Coalition has saved these families more than $1 million in tax preparation fees," said Sarah Kern, program director for the Houston Asset Building Coalition. "We are grateful for our 326 volunteers who gave 14,108 hours to the VITA program."

HABC is planning for the coming tax season. For 2007 returns, the Earned Income Tax Credit will mean up to $4,700 additional money per household-more than 10% for some families.

During the 2006 tax preparation season, more than $9 million was returned to Houston taxpayers and the Houston economy through the HABC tax preparation program. Those assisted received $3,309,296 through the earned income tax credit and $1,846,869 in tax refunds through the child tax credit as a result of the program. Volunteers with Houston Asset Building Coalition prepared more than 7,990 free tax returns in the entire 2006.

Houston Asset Building Coalition

Houston Asset Building Coalition is a partnership of the City of Houston Mayor's Citizens' Assistance Office, the Internal Revenue Service, financial institutions, government agencies, community-based organizations and faith-based organizations that works to help families keep their earned money by spending and saving wisely. Founded in August 2002, HABC's fiscal agent, Covenant Community Capital, is a nonprofit organization launched by a grant from Houston Endowment and supported by grants and private support. For more information on HABC, please visit www.houstonassetbuilding.org.