GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H D
HOUSE BILL DRH40369-NGa-34
Short Title: NC Working Families Economic Relief Act. (Public)
Sponsors: Representative Crawford.
Referred to:
*DRH40369 -NGa-34*
A BILL TO BE ENTITLED 1
AN ACT TO ESTABLISH A GRANT PROGRAM AT NORTH CAROLINA COMMUNITY 2
COLLEGES TO EXPAND INCOME TAX ASSISTANCE IN THE STATE AND TO 3
PROVIDE FUNDS TO THE UNITED WAY OF NORTH CAROLINA TO EXPAND ITS 4
VOLUNTEER INCOME TAX ASSISTANCE PROGRAM. 5
Whereas, it is estimated that 225,000 North Carolina filers are eligible for the Federal 6
Earned Income Tax Credit but do not claim the credit; and 7
Whereas, it is estimated that the average Earned Income Tax Credit is about $2,812 8
per filer; and 9
Whereas, the Internal Revenue Service (IRS) provides a federal program, the 10
Volunteer Income Tax Assistance (VITA) program, for which grants are available. VITA 11
provides for individuals who make below a certain income threshold per year to have their taxes 12
completed by an IRS-certified individual for free, allowing them to take full advantage of every 13
federal tax credit and return more of North Carolina's hard-earned dollars to our citizens, putting 14
more money into our economy; and 15
Whereas, community colleges can provide work-based learning opportunities for 16
students; Now, therefore, 17
The General Assembly of North Carolina enacts: 18
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PART I. GRANT PROGRAM AT NORTH CAROLINA COMMUNITY COLLEGES TO 20
EXPAND INCOME TAX ASSISTANCE IN THE STATE 21
SECTION 1.(a) Program Established. – Within the funds appropriated in subsection 22
(d) of this section, the State Board of Community Colleges shall establish a grant program for 23
participating community college campuses to offer courses to students to become tax preparers 24
as part of the Volunteer Income Tax Assistance (VITA) program and to facilitate providing VITA 25
services to all students on campus, as well as community members. The Internal Revenue Service 26
(IRS) offers free tax help through VITA to (i) people who generally make sixty-seven thousand 27
dollars ($67,000) or less, (ii) persons with disabilities, and (iii) limited English-speaking 28
taxpayers who need assistance in preparing their own tax returns. The goal of the grant program 29
shall be for community colleges to provide work-based opportunities to students while 30
facilitating access to the VITA program for their local communities. 31
SECTION 1.(b) Components of the Program. – In administering the grant program, 32
the State Board of Community Colleges shall require participating community colleges to do at 33
least the following: 34
(1) Offer the following courses to students interested in becoming certified as tax 35
preparers for the VITA program: 36
H.B. 668
Apr 1, 2025
HOUSE PRINCIPAL CLERK General Assembly Of North Carolina Session 2025
Page 2 DRH40369-NGa-34
a. A fall curriculum course for the purposes of teaching basic tax 1
accounting and training students on the preparation of federal and 2
North Carolina tax returns. The course shall lead to the completion of 3
the IRS Link and Learn training to become certified as tax preparers 4
for the VITA program. 5
b. A spring work-based learning course where students commit to 15 6
hours per week from January through April 15 to prepare taxes. 7
(2) Designate a faculty champion to facilitate the program. 8
(3) Provide VITA services to be offered to all students on campus as well as 9
community members. 10
SECTION 1.(c) Applications for Grants. – A community college shall apply for a 11
grant to the State Board with a plan to implement the VITA program on its campus with at least 12
the following information: 13
(1) A time line for implementing the curriculum and a recruitment of students to 14
become certified as VITA tax preparers. 15
(2) Options for paid work-based opportunities for students as part of the spring 16
curriculum. Students shall be provided hourly compensation for tax 17
preparation assistance during tax season as part of the program. 18
(3) Start-up and ongoing costs for personnel, including site coordinators and 19
quality reviewers, and budget for continuing costs for running the VITA 20
program. 21
SECTION 1.(d) Appropriation. – There is appropriated from the General Fund to 22
the Community Colleges System Office the sum of one million three hundred eighty thousand 23
dollars ($1,380,000) in nonrecurring funds and six hundred ten thousand dollars ($610,000) in 24
recurring funds for the 2025-2026 fiscal year to implement the grant program in accordance with 25
this act. The funds shall be used as follows with any unexpended funds returned to the System 26
Office: 27
(1) For the 2025-2026 fiscal year, the sum of seven hundred ninety thousand 28
dollars ($790,000) in nonrecurring funds may be used for creation of the 29
curriculum, for bonuses of up to one thousand five hundred dollars ($1,500) 30
per community college receiving a grant to support a faculty champion on 31
campus, to support hiring personnel for the VITA program, and to establish 32
work-based learning opportunities for students. 33
(2) For the 2025-2026 fiscal year and for subsequent fiscal years, six hundred ten 34
thousand dollars ($610,000) in recurring funds may be used to support hiring 35
personnel for the VITA program and to establish work-based learning 36
opportunities for students. The System Office may use up to fifty thousand 37
dollars ($50,000) of the recurring funds appropriated for the program each 38
fiscal year for administrative costs associated with administering the grant 39
program. 40
SECTION 1.(e) Of the nonrecurring funds appropriated to the Community Colleges 41
System Office in subsection (d) of this section for the 2025-2026 fiscal year, the sum of up to 42
five hundred ninety thousand dollars ($590,000) shall not revert at the end of the 2025-2026 43
fiscal year but shall remain available until the end of the 2026-2027 fiscal year to provide bonuses 44
of up to five hundred dollars ($500.00) per community college receiving a grant to support a 45
faculty champion on campus, to support hiring personnel for the VITA program, and to establish 46
work-based learning opportunities for students. 47
SECTION 1.(f) There is appropriated from the General Fund to the Department of 48
Revenue the sum of fifty thousand dollars ($50,000) in nonrecurring funds and one hundred 49
thousand dollars ($100,000) in recurring funds for the 2025-2026 fiscal year to provide training 50
and technical assistance to community college campus personnel and students participating in 51 General Assembly Of North Carolina Session 2025
DRH40369-NGa-34 Page 3
the grant program in accordance with this act. The Department of Revenue may use the funds 1
appropriated pursuant to this section to contract with a third-party vendor to provide technical 2
assistance and support for the program. 3
4
PART II. FUNDS TO THE UNITED WAY OF NORTH CAROLINA TO EXPAND ITS 5
VOLUNTEER INCOME TAX ASSISTANCE PROGRAM 6
SECTION 2. There is appropriated from the General Fund to the Office of State 7
Budget and Management the sum of eight hundred forty thousand dollars ($840,000) in 8
nonrecurring funds for the 2025-2026 fiscal year to be allocated as a directed grant to the United 9
Way of North Carolina to expand its Volunteer Income Tax Assistance (VITA) program. These 10
funds shall be used to increase the number of VITA locations, provide dedicated staff to support 11
evaluation of the program and recruitment, provide needed software and office supplies for the 12
program, and improve marketing and communication efforts to include multilingual materials, 13
connection to online resources where internet is available, and educational opportunities on 14
household budgeting, financial planning, and other resources to improve financial skills. These 15
funds shall not revert at the end of the 2025-2026 fiscal year but shall remain available until the 16
end of the 2026-2027 fiscal year. 17
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PART III. EFFECTIVE DATE 19
SECTION 3. This act becomes effective July 1, 2025. 20