THE VIRGINIAN-PILOT 
              Copyright (c) 1997, Landmark Communications, Inc.

DATE: Tuesday, February 4, 1997             TAG: 9702040226
SECTION: LOCAL                   PAGE: B1   EDITION: NORTH CAROLINA 
SOURCE: BY ANNE SAITA, staff writer 
                                            LENGTH:   46 lines

FREE TAX HELP FROM IRS, STATE COULD BRING MORE REFUNDS

Some working families and individuals may not know of an often-overlooked tax credit program that could raise their refund or reduce their tax burden.

In part to help such people, the IRS is planning free tax-help centers, some of them in the Albemarle.

This year, families with more than one child and an income of under $28,495 could get an earned income credit of up to $3,556.

Single workers between 25 and 64 who do not have children could receive up to $323 in credits if they made less than $9,500 in 1996.

The special tax benefit for people with low to moderate incomes has been around for awhile, and last year some 19 million people nationwide received more than $25 billion in earned-income benefits.

But there are more who could claim the credit.

So this year the Internal Revenue Service has launched a campaign to help spread the word.

``A lot of people don't know about the earned income credit and therefore don't pursue it,'' said Don Reuter, public information director with the state Department of Revenue in Raleigh, which is helping the IRS spread the word.

``This is especially true in economically depressed areas where there are a lot of people who qualify,'' he said.

Areas like northeastern North Carolina have been targeted for just such a reason, Reuter added.

An accountant can easily spot whether a taxpayer can take the earned income credit. But many people, particularly those with a low income, often fill out their own forms to avoid the $25 to $65 fees charged by commercial tax preparers.

The IRS in North Carolina is establishing Volunteer Income Tax Assistance centers to help low-income workers fill out their tax forms for free. Volunteers are trained by the IRS.

An IRS spokeswoman said Friday that sites of VITA centers in northeastern North Carolina should be announced by mid-February.

VITA centers frequently are set up in churches, libraries, shopping malls, community colleges and other public places.

For those who go it alone and miss the credit, take heart. Reuter said the IRS automatically adds the credit when it screens the returns of those who qualify.

``It'll delay it quite a bit, though,'' Reuter warned. ``So it's in their interest to find it themselves as quickly as possible.''