Free tax filings are available for Queensbridge, Ravenswood, Astoria and Woodside Houses residents.
Just in time for tax season, Councilmember Eric Gioia and the East River Development Alliance (ERDA), founded by Rev. Mitchell Taylor, opened a tax preparation site in Long Island City located at 13-03B 40th Avenue.
The bleak economic climate is straining the finances of the working class and ERDA is looking to assist low-income individuals by offering free tax preparation, financial counseling and links to community resources.
“Taxes can be confusing, complex and intimidating,” Gioia said. “We want to get the people what they are entitled to.”
ERDA has been preparing taxes for local low-income residents for the past five years in the basement of a nearby church where Taylor preaches. This is the first year that ERDA has a permanent, location.
“[Taylor] is not only changing lives, he’s changing families,” Gioia said.
Gioia believes Taylor’s agency is the perfect plan for creating a stronger middle class and building wealth within the community. He wants to see similar programs in other cities.
Meanwhile, local residents are eager to take advantage of ERDA’s services.
Adelina Livingston works for the city as a school crossing guard. She decided to file her taxes with ERDA after hearing about the program from her employer.
Dalia Farardo also plans to file her taxes with ERDA.
“It cost too much to file my taxes at places like H&R Block and Jackson Hewitt,” she said. Many clients were there for the same reason, saying commercial tax preparation agencies were too costly and lacking quality customer service.
One client said that commercial agencies were too impatient and treated their customers like a number rather than a person.
Another tax filer, Brenda Bill, said she was interested in learning how to apply for government food stamps and utilize community resources in addition to filing taxes.
“They’re very nice here…really great customer service,” Bill said, “I wasn’t expecting much, but I’m very pleased.”
Last year ERDA prepared more than 1,000 taxes. Participants received an average return of $2,600, according to Taylor. In total, ERDA approximated that they filed $2.2 million in returns last year, and they expect to exceed these figures this year.
In addition to free tax preparation, ERDA offers financial counseling and helps clients set up bank accounts.
Juan Piedrahita and Lenny Mattocks are personal bankers with Chase bank. They are working with ERDA to help clients set up bank accounts to help them establish credit, save money and manage their finances.
“Some people have bad experiences with banks,” Piedrahita said, “We try to work with them and educate them about the benefits of opening an account.”
ERDA is especially focused on getting qualified New Yorkers the Earned Income Tax Credit (EITC) rebate. Gioia conducted a study last year that found 250,000 New Yorkers qualified for the rebate, but did not file for it. This resulted in a $5 million loss in tax refunds.
“We need to do everything possible to make sure New Yorkers get the money they deserve,” Gioia said.
Taylor is trying to advertise these services through direct mail, flyers, local schools and tenant associations.
“Our best advertisement is word of mouth … we have a good product,” Taylor said. “It speaks for itself.”
