102 low-income taxpayer clinics are going to be funded by IRS this year. Last year it was 88 clinics that received this grant to provide legal assistance for taxpayers. Low-income taxpayer clinics exist to help out taxpayers who are in legal trouble with the IRS or owe taxes but dont have the funds to properly represent themselves and their case to the agency.
The program is in its third year. There is a 400% increase in the amount of funds that are being awarded to the clinics this year compared with the first year in operation. In its first year, $1.5 million was granted to clinics across the nation. As more and more organizations submit applications to run these clinics, the budget is adjusted by the IRS to supply them with the necessary funds.
The IRS commissioner Mr. Rossotti is glad to see the increase in the amount of funds given to LITC. He wants IRS to be able to reach across the board to all income levels and to provide the taxpayers with the necessary knowledge and understanding of the tax codes to comfortably file their tax return.