Millions in tax refunds going unclaimed in city, county
Lou Marzeles
News Editor
Klickitat County has almost $15 million being "borrowed" by the U.S. government and which is still available to be returned to county taxpayers.
Goldendale alone has close to $6 million of citizens' money just sitting out in government coffers, money which is free to go back into residents' pockets.
That's according to figures compiled by the Brookings Institute and the Aspen Institute, both in Washington, D.C., and drawn from tax and census reports. The information was presented at a conference held by the Washington Rural Family Economic Success (RuFES) Institute Nov. 1 through Nov. 4.
According to the findings, millions of Americans each year fail to take advantage of an IRS tax allowance called the Earned Income Tax Credit (EITC). The EITC is a refundable tax credit for low-to-moderate income working families aimed at providing an incentive to stay working. It's also the largest anti-poverty program in American, easily larger than the sprawling welfare system.
It's also vastly underused, mostly because so many people are unaware of it and don't know how to use it. As a result, millions of dollars-some $15 million in Klickitat County, and $756 million in the state of Washington-go unclaimed, piling up in government accounts awaiting claims that very often never come.
Based on 2006 tax year figures, in Klickitat County, there are 3,862 families eligible for the EITC who did not file claims for it. Each such family in the county could claim $1,283 for each of three years. Altogether that's almost $5 million in unclaimed EITC per year, for a total potential recoverable sum of $14,865,838 in the county. In Goldendale, 1,486 families were eligible for and did not file an EITC claim. That totals close to $2 million per year, for a total recoverable sum of $5,719,614.
The EITC program was created in 1975 as a means to reward employment over welfare for low-to-moderate income families. It provides credit toward taxes based on income and dependents, allowing those who make less money to keep more of it. When the EITC exceeds the amount of taxes owed, it results in a tax refund to those who claim and qualify for the credit.
The EITC is available for families with or without children, though without children the savings are far more modest than for families with children. It tops out at $5,657 for a two-parent, three-child family earning between $12,000 and $18,000 per year. The money is refundable even if a family owes no taxes. A family can go back and collect it for three years by filing amended tax returns, even if they never knew about the program before now. You have to file a tax return to claim the EITC, even if you owe no taxes. If the family is eligible and files amended returns to claim the EITC, they get a check back from the IRS.
In addition to the EITC, there are other tax credit programs to look closely at. These include the Child Tax Credit (CTC), which is non-refundable federal tax credit of up to $1,000 per qualifying child, and the Additional Child Tax Credit (ACTC), which is a refundable tax credit for families owing too little in taxes to collect the full CTC. Typically families with children who neglect to file for the EITC also miss these credits.
If this all sounds like gibberish, help is readily available-and some of it is free, for families who qualify. There are tax preparers who will help qualifying tax payers do their taxes at no cost. Two of these are in Klickitat County, one through Washington State University Learning Center and available by appointment at the Goldendale Public Library (call 773-5620), and the other being the Klickitat County Senior Service office in White Salmon (call 493-3068).
Claiming EITC and other refundable tax credits helps everyone, according the RuFES information. Besides obviously putting more money back into individual pockets, studies show that two-thirds of the refunded money is spent locally, which of course substantially helps local economies. Every dollar spent locally generates an additional $1.58 in local economic activity, say the studies. On a larger scale, every $37,000 in claimed EITCs generates one new job; that comes out to about one new job for every 30 EITC filers.
The moral of all these statistics boils down to one compelling message: go get your money.
County votes with east minority
There were few surprises in last week's election results for Klickitat County.
Measure 1033 passed, with almost 63 percent of the vote, and Referendum 71 was rejected with about 59 percent voting no. On the state level, the west prevailed and measure 1033 failed while Referendum 71 passed.
Rep. David Taylor won the county with almost 73 percent of the vote. Although he announced his withdrawal from the race, challenger John Gotts took 27 percent of the vote.
Len Crawford received 73 percent of the vote for position 6 on the Goldendale city council, defeating Ron Lightfoot. Councilmen Clinton Baze, Gary Hoctor, Joe Abbott, and Steven Johnston ran unopposed for their city council positions and won reelection.
In the district 2 hospital commissioners election, the winners, each running unopposed in their respective positions, were: Isaac Carmickle, John Quinn, Michael Macy, Charles Hogue, Leslie Downey, and David Elkins.
In Bingen, Betty Barnes won unopposed as the city's mayor.
Cemetery District 1 Commissioner positions were won by Mary Ann Fritchey, Kay Hoodenpyl, Eugene Tsubota, Ron Gunkel, and Harold Bickel.
Park and Recreation District 1, position 2 was won by Marty Dixon with almost 60 percent of the vote, defeating Theresa Babler. Position 3 was won by Brent Lovelace, who ran unopposed.
Trout Lake Fire District 1 positions were won by Pat Kelly, Robert Jolley, and Michael Calahan.
Bickleton Fire District 2, position 3 was won by Virginia Read.
Husum Fire District 3, position 2 was won by Jim Hulbert, defeating Charles Virts.
Lyle Fire District 4, position 1 was won by Kris Joy, defeating Don Brashers.
Centerville Fire District 5, position 1 was won by Terry Linden. Position 2 was won by Louis Cosner.
Dallesport Fire District 6, position 1 was won by Raymond Manning, Jr.
Rural 7 Fire District, position 1 was won by Jane Lee.
Arts community holds open studios sale
Holiday gifts will be on display at Goldendale's art community's open studio art sale, Nov. 13-14, from 10 a.m. to 8 p.m. on Friday and 10 a.m. to 5 p.m. on Saturday.
Seven locations will be open along Main Street, Grant and North Columbus avenues. Maps are available from the Golden Art Gallery at the corner of Main and Columbus. As you visit each location, the map will be stamped for entry into a drawing for a gift certificate, good at any of the participating locations.
Items for sale include holiday ornaments and handcrafted items as well as artistic creations. Baked goods and beverages will also be available.
The locations include Art Frames, Tongues of Fire, Pat's Place, The Golden Art Gallery, Golden Photo Services, Charlotte Van Zant King, and Fiber Art Studios. |
