2007 VOLUNTEER INCOME TAX ASSISTANCE (VITA) ELECTRONIC TAX/FILING (ELF) POLICY AND PROGRAM GUIDANCE:

RAAUZYUW RUENAAA0373 3051809-UUUU--RHMFIUU.
ZNR UUUUU ZUI RUEWCSE0455 3051813
R 011809Z NOV 06 ZYB MIN ZYW
FM CNO WASHINGTON DC//N09//
TO NAVADMIN
INFO RHMFIUU/CNO WASHINGTON DC//N09//
RUENAAA/CNO WASHINGTON DC//N09//
BT
UNCLAS
NAVADMIN 303/06
MSGID/GENADMIN/CNO WASHINGTON DC/N09/OCT//
SUBJ/2007 VOLUNTEER INCOME TAX ASSISTANCE (VITA) ELECTRONIC
TAX/FILING (ELF) POLICY AND PROGRAM GUIDANCE//
REF/A/MSG/CNO/161930Z DEC 05//
AMPN/REF A IS NAVADMIN 322/05//
POC/COOK/LCDR/OJAG 16.1/JAG/TEL: (202)685-4641 DSN: 325//
GENTEXT/REMARKS/2007 VOLUNTEER INCOME TAX ASSISTANCE/ELECTRONIC TAX
FILING POLICY AND PROGRAM GUIDANCE//
RMKS/1. THIS NAVADMIN PROVIDES VOLUNTEER INCOME TAX ASSISTANCE
(VITA)/ELECTRONIC TAX FILING (ELF) POLICY AND PROGRAM GUIDANCE. THIS
MSG SUPERSEDES REF A.
2. DURING THE 2006 TAX SEASON, VOLUNTEERS WITH THE VITA/ELF PROGRAM
FILED MORE THAN 80,000 FEDERAL AND STATE TAX RETURNS, SAVING SERVICE
MEMBERS AND DEPENDENTS MORE THAN $8,900,000 IN COMMERCIAL TAX
PREPARATION FEES. BASED ON THE RESOUNDING SUCCESS OF VITA/ELF IN PAST
YEARS, WE WILL ONCE AGAIN FULLY IMPLEMENT THE PROGRAM FOR THE 2007
TAX SEASON.
3. THE VITA/ELF PROGRAM IS A PROVEN WINNER THAT IMPROVES MORALE AND
READINESS - AND KEEPS MONEY IN SAILORS' POCKETS - BY SIGNIFICANTLY
REDUCING THE EFFORT AND COST INVOLVED IN MEETING FEDERAL AND STATE
TAX OBLIGATIONS:
A. NO PREPARATION FEES. COMMERCIAL TAX PREPARERS MAY CHARGE OVER $140
FOR THE AVERAGE ELECTRONICALLY FILED RETURN. VITA/ELF VOLUNTEERS
PREPARE AND FILE THE SAME RETURNS AT NO COST TO SAILORS AND
DEPENDENTS.
B. FASTER REFUNDS. PAPER RETURNS MAY TAKE EIGHT OR MORE WEEKS TO
PROCESS IN CONUS, AND EVEN LONGER IF SUBMITTED FROM OVERSEAS OR WHILE
DEPLOYED. BY USING VITA/ELF, REFUNDS ARE DEPOSITED DIRECTLY INTO A
SAILOR'S BANK ACCOUNT AN AVERAGE OF TWO WEEKS FROM THE DATE OF
TRANSMISSION, EVEN FROM OVERSEAS AND AFLOAT COMMANDS. THESE RAPID
REFUNDS GREATLY REDUCE THE NEED FOR REFUND ANTICIPATION LOANS
(SHORT-TERM LOANS WITH ADDED CHARGES AND HIGH INTEREST RATES).
C. FEWER MISTAKES. VITA/ELF RETURNS ARE VERY ACCURATE - LESS THAN A 1
PERCENT ERROR RATE COMPARED TO 15 PERCENT FOR PAPER RETURNS.
4. PAST TAX SEASONS HAVE DEMONSTRATED THAT SUCCESS OF THE VITA/ELF
PROGRAM IS PREDICATED ON SUPPORT FROM LOCAL COMMANDS. WHILE THE LOCAL
NAVAL LEGAL SERVICE OFFICE (NLSO), STAFF JUDGE ADVOCATE, OR FLEET AND
FAMILY SERVICE CENTER REPRESENTATIVE WILL MANAGE TAX ASSISTANCE
CENTERS, LOCAL COMMANDS ARE STRONGLY ENCOURAGED TO PROVIDE PERSONNEL,
EQUIPMENT, AND FACILITIES. WHEN LOCAL COMMANDS SUPPORT THE VITA/ELF
PROGRAM, EVERYONE BENEFITS.
5. SUFFICIENT MANPOWER IS THE KEY TO SUCCESS. THE SUPPORT OF EVERY
COMMAND IS NECESSARY - TO INCLUDE SENDING SAILORS TEMPORARY
ADDITIONAL DUTY (TAD) FOR THE 12-WEEK TAX SEASON OR ALLOWING
PERSONNEL TO WORK PART-TIME AT TAX ASSISTANCE CENTERS. PART-TIME
SUPPORT IS ESPECIALLY CRITICAL DURING FEBRUARY, THE PEAK FILING TIME.
THE GOAL IS TO PROVIDE ONE VOLUNTEER OR TAD TAX PREPARER PER 100
MEMBERS OF EACH COMMAND. ONE FULL-TIME TAD TAX PREPARER (TRAINED BY
THE IRS AND/OR VITA/ELF TAX OFFICERS) CAN PROVIDE OVER $50,000 WORTH
OF SERVICES. INFORMATION INVOLVING TAX PREPARER TRAINING CAN BE
OBTAINED BY CONTACTING THE POC, LCDR COOK, OR THE LOCAL NLSO.
6. THE VITA/ELF PROGRAM IS EXTREMELY IMPORTANT. WITH YOUR SUPPORT, WE
CAN CONTINUE THIS VALUABLE QUALITY OF LIFE BENEFIT FOR OUR SAILORS
AND THEIR FAMILIES.
7. RELEASED BY ADM ROBERT F. WILLARD, VCNO.//
BT
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