California Tax Credit Outreach Grant Program – Funding Prospect
The California Department of Community Services (CSD) is offering grants to organizations focused on increasing awareness adn access to crucial tax credits for low-income Californians. This program aims to connect vulnerable and hard-to-reach populations with available resources, ensuring they benefit from federal and state tax benefits.
The grants will support cost-effective education and outreach initiatives designed to inform community members about the California Earned Income tax Credit (CalEITC), the Young Child Tax Credit (YCTC), the Foster Youth Credit (FYTC), the federal Earned Income Tax Credit (EITC), and the federal Child Tax Credit. A key focus will be reaching California residents who file taxes using an individual Taxpayer Identification Number (ITIN), as well as those who might potentially be eligible for and interested in obtaining an ITIN.
Awardees will be responsible for connecting low-income residents with free tax preparation services, both local sites and online resources, enabling them to claim these credits without cost. Grant recipients will also be required to provide free tax preparation assistance, aligning with the scope of the internal Revenue Service’s (IRS) Volunteer Income Tax Assistance (VITA) program, either directly or through partner organizations. Close collaboration with local VITA sites is essential to ensure eligible individuals know where and when to access these free services. The program also emphasizes raising awareness about the availability of ITINs for eligible individuals. Funding is intended to support new or expanded activities and cannot be used to replace existing funding sources.
CSD anticipates awarding 21 grants, with funding targeted to organizations serving specific regions and counties. These include 20 counties grouped into 13 regions: Los Angeles, San Diego, Alameda & Santa Clara, Sacramento, Riverside, Orange, contra Costa & Sonoma, San Bernardino, Kern & Tulare, Fresno, San Joaquin & Stanislaus, San Francisco & San Mateo, and ventura & Santa Barbara. Additional funding is allocated for organizations serving rural counties and for statewide outreach.
Rural counties, defined as those with populations of approximately 100,000 or less, include Alpine, Amador, Calaveras, Colusa, Del Norte, Glenn, Inyo, Lake, Lassen, Mariposa, Mendocino, Modoc, mono, Nevada, Plumas, San Benito, Sierra, Siskiyou, sutter, Tehama, Trinity, Tuolumne, and Yuba.
Eligibility Requirements
Eligible Applicants must:
Be a private or non-profit institution with a current IRS determination letter confirming 501(c)(3) tax-exempt status.
Be an existing administrator of a Volunteer Income Tax Assistance (VITA) program or have a formal relationship with a VITA program provider.
Be eligible to receive public funds.
Be in good standing with both federal and state grant-issuing agencies.
Eligible Geographies:
Grant funds must be utilized within the designated geographic target area for which they are awarded – either statewide, rural, or one of the thirteen prioritized regions encompassing twenty counties. All activities must focus on low-income individuals and families eligible for low-income tax credits, and on California residents who file with an ITIN or are interested in applying for one.
