EITC Issue Committee Meeting Minutes
May 14, 2007
Teleconference

Program Owner

• O’Brien, Mary - Washington, DC - Analyst

Designated Federal Official

• Ramirez, Sandra - Brooklyn, NY - Manager

Committee Members Present (These attendees count for quorum)

• Broniarczyk, Robert - Romeoville, IL - Member
• Chen, Betty - New York, NY - Member
• Cooper, Dale - Atlanta, GA - Vice Chair
• Sosa, Iris - Fontana, CA - Member
• Wernz, Stanley - Cincinnati, OH - Chair

Committee Members Absent

• Kennedy, Jeff - Louisville, KY - Member
• Tanna, Wayne - Honolulu, HI - Member
• Widmer, Harris - Fargo, ND - Member

TAP Staff

• Jenkins, Audrey - Brooklyn, NY - Analyst
• Odom, Meredith - Brooklyn, NY - Secretary

Other Attendees

• O’Brien, Mary - EITC
• Roberts, Tia - EITC
• Schmitt, Bill - Center of Budget and Policy, Washington, DC

Welcome
Wernz opened the meeting at 12:31 PM welcoming the committee and IRS staff.

Roll Call
Quorum met

Review of Assignments
Chen gave an overview of the work the Technology Subcommittee. The committee discussed how useful IRS products are to the practitioners. How familiar and how satisfied they are. They also review the topic of information flow. How EITC preparers are getting their information from the IRS. Are they getting it via snail mail, the web or membership groups? Due diligence was another topic that was brought up by Johns as a topic that should be discussed. Are EITC preparers aware there are rules? Will an annual refresher course be useful?

Wernz informed the committee that the focus group characteristics qualification recommendation went forward to O’Brien. Johns wants to discuss some items with the committee but she is on an extended leave. She doesn’t have a replacement at this time. Wernz expressed some concerns with the timeline for the work to be produced from the committee. have an update as to when information will be provided to complete this work.  Wernz is proposing the committee meet once a month. He would like for the committee to meet monthly on the second Monday at 10:30 AM ET. The EITC committee had 3 members to resign. Wernz would like to discuss the difference between small and medium sized organizations. Roberts will inform the committee of the difference. Ramirez informed the committee that there isn’t any baseline data for outreach. This assignment exists for this committee and the focus group to start a baseline for the outreach data. Wernz would like to know the source that documents the statement that  20 to 25% of eligible individuals did not apply for the EITC. Wernz feels as if this information will be helpful in the screening process. Cooper feels that these criteria will help to identify the type of individual and you can look at this individual relative to their type of income. You can more or less determine what type of firm they are more likely to use. If they are low income, they are going to use a mom or pop business opposed to a larger firm because the larger the firm the more the cost.

O’Brien informed the committee that since Johns is on extended leave, professional researchers from WESTAT will be working with the committee. WESTAT will attend the face to face meeting. The administrative committee sent some questions forward to EITC. Johns had a comment in reference to question #8. If possible to determine including focus group membership individuals who have received IRS EITC tax preparer letters because of returns reflecting potential for error. Johns does not want to focus on those who have due diligence visit. She would like to make it clear that it wasn’t a due diligence visit that they had their correspondence with from the IRS. It was actually correspondence that was sent on behalf of the taxpayer on EITC error. Cooper agrees because if it is a due diligence visit, then the individual is on the IRS radar screen for more reasons then one. If they are on there for a due diligence visit, they normally don’t venture to a focus group or a forum. Most practitioners that have due diligence visit with the IRS are usually the ones that cut corners. Cooper states that the question could be asked, as a practitioner, do you receive correspondence on behalf of your client, and if so, have you personally had a face to face meeting with the IRS regarding due diligence preparations of EITC or due diligence in any other manor? The committee agrees on Coopers change to the question.

Face to Face Assignment
WESTAT will meet with the committee at the face to face meeting. O’Brien states the committee will present WESTAT the problem statement, and how to improve communication with third party preparers.WESTAT will ask the committee questions as to what groups they are targeting. They will go through the moderators guide. WESTAT will record all information from the committee and they will go back and perfect the screener and the operator guide and come back to the committee with a proposal. They will start arranging for the focus groups. The committee needs to focus in on what cities are going to be looked at. A timeline will be developed for when these focus groups will be held. O’Brien asked that Ramirez and Jenkins speak with Coston about having some of the members attend the focus groups. WESTAT will prepare transcripts and a basic analysis of the results of the focus group and the committee will be able to make recommendations. The committee would like for the focus groups to be done by the end of August so the committee can do an analysis and make recommendations in September or October. The budget allows for the focus groups to be conducted in 8 different cities. The committee will make the recommendations on what cities will have the focus groups.

Meeting Recap
Cooper states that the admin committee has been submitted to be signed off on. From the technical standpoint, a little more work needs to be done on this which will be concluded at the face to face meeting. This is needed in getting WESTATS help.

Public Participation
Jenkins thanked Schmitt on participating in the meeting. Schmitt thanked the committee for allowing him to join. He also requested prior meeting minutes.