People's VoiceA Publication of Northwestern Legal Services, Erie, Pennsylvania
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Our Mission: To serve the community in assessing and responding to clients’ legal needs and empowering them in attaining justice.Serving Northwestern Pennsylvania
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I
f you received a state income tax refund last year or owed no
taxes because you had no taxable income, you may be able to obtain a
refund from the state or reduce the amount of state income tax that is
withheld from your paycheck. If you worked in 2001, you can either get
back all the income tax withheld from your paycheck or you pay partial
income tax. Pennsylvania’s Tax Forgiveness Program, also known as the Special Provision (SP) Program, is a tax credit that can be used to offset the 2.8% state income tax withheld by your employer(s) from your gross income. The TAXBACK/Tax Forgiveness income allowance in 2001 for each dependent child has been increased to $8,500. Depending on your family and filing situation, you can receive hundreds of dollars in credits or refunds. For example, a single parent with two children with eligibility income of $23,500 could get back as much as $658. A family of five could get back up to $1,075.
Your eligibility income is the total amount of your PA taxable and
nontaxable income. It is the amount you will use to determine your
percentage of TAXBACK/Tax Forgiveness. Your TAXBACK/Tax Forgiveness credit
is the percentage of the difference between your PA Tax Liability and your
Resident Credit (Line 23 of PA-40). If you have children, you use your
Eligibility Income and the number of dependent children to calculate your
percentage of TAXBACK /Tax Forgiveness. |
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In Case You Didn't Know...T his
is now the fourteenth year that Northwestern Legal Services is publishing
the People’s Voice. Many articles pertaining to civil legal issues have
graced its pages. But some people still may not know what Northwestern
Legal Services does, in spite of its existence since 1969. So, it’s time
again to review what we do, and what we can do.
Salvador A. Parco, Ph.D., Editor |
| People's Voice | Page 3 |
Keeping Your Housing Benefits SafeBy Barbara Mountjoy, Staff Attorney, Northwestern Legal Services, Franklin Office For Mary,
family is the most important thing in her life. She would never deny her
brother, her son or her closest friends any help she could give,
including letting them stay for a few days if they were homeless or
allowing them to receive mail at her house until they could find a place
to stay. She never had any trouble – until she got a letter telling
her she was being evicted from her Public Housing unit because her adult
son was arrested for selling drugs. He hadn’t even been living with
her when he was arrested. When he got out of jail, the police wouldn’t
release him unless he gave an address where he could receive court
notices. He gave Mary’s. Erie County SHOUT
Outreach Program
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_________ To be eligible for the Earned Income Credit, your total earned income in 2001 must be less than $32,121 if you have more than one qualifying child; less than $28,231 if you have one qualifying child, or less than $10,710 if you do not have a qualifying child. _______ |
Claim Your Earned Income Tax CreditT o
be eligible for the Earned Income Credit, your total earned income in
2001 must be less than $32,121 if you have more than one qualifying
child; less than $28,231 if you have one qualifying child; or less than
$10,710 if you do not have a qualifying child. |
Child and Dependent Care Credit: Is It For You?You
may be able to claim the Child and Dependent Care Credit if you pay
someone to care for your dependent child who is under 13 or for your
physically or mentally disabled spouse or dependent who is not able to
care for himself or herself. They must be identified in the tax return
by name and social security number. To qualify for the credit, which can
be up to 30% of your expenses, you must pay these expenses so you can
work or look for work. |
| People's Voice | Page 5 |
Advanced EITC = Higher Take-Home PayT o get
part of your earned income credit now instead of waiting until after the
end of the year, you must fill out a 2002 IRS Form W-5 (Earned Income
Credit Advance Payment Certificate) and give the lower part of the form
to your employer. If your spouse is also employed, separate W-5 forms
should be filed with your respective employers. You will get part of the
credit regularly in your paychecks. You will get the rest of any earned
income credit you are entitled to when you file your 2002 tax return and
claim the EIC. You must file Form 1040 or Form 1040A if you received
advance payments. |
__________ The maximum child tax credit for each qualifying child in 2001 is $600. ___________
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Child Tax Credit Can Reduce Your TaxIf you have dependent children, you are eligible for the federal Child
Tax Credit (CTC), which can reduce your tax. The maximum child tax
credit for each |
| People's Voice | Page 7 |
Note: Page6 is not displayed here (Pull Out Informational Sheet) |
Incapacity: Guardianship v. Power of AttorneyBy John P. Gagliotti, Staff Attorney, Northwestern Legal Services, Meadville Office The goal of
Guardianship or Power of Attorney is to have a substitute decision maker
appointed by the Court (in the case of a Guardianship) or pre-appointed
by the incapacitated person him/herself while he/she still retains
capacity (in the case of a Power of Attorney). IMPORTANT: ® Report landlords who use lockouts and utility shutoffs to the Bureau of Consumer Protection (814-871-4371) for enforcement action. Landlords will then have to enter into an Assurance of Voluntary Compliance and may be fined. . . .*The Department of Public Welfare has extended the deadline for submitting applications for the LIHEAP Cash Grant to March 6, 2002. |
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Inside This Issue: Get Your
TAXBACK/Tax Forgiveness
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People's Voice
A Publication of:
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Employment DiscriminationBy Mary Jane Weed, Paralegal, Northwestern Legal Services, Erie Office
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Since March 2002