More than two-dozen Accounting students made filing 2015 income tax returns less “taxing” for a growing number of local residents – while sharpening skills they’ll utilize in their professional careers – through the Volunteer Income Tax Assistance (VITA) program at Fredonia.
A record 238 sets of federal and state tax returns were prepared by these students through the IRS program that provides basic tax preparation services to low- and moderate-income individuals at no charge, according to Accounting Professor Linda Hall. The 2015 tally was 205 and the year before that 167 returns were filed, “so we’ve been steadily increasing our impact each year,” Dr. Hall noted.
But that wasn’t the only impressive number achieved.
Students accounted for nearly a quarter of the 1,047 sets of returns processed through the Chautauqua County Earned Income Tax Coalition’s north county partners, which includes the State University of New York at Fredonia, United Way of Northern Chautauqua County and Inner Lakes Federal Credit Union. Students collectively logged 748 volunteer hours and generated more than $375,000 in refunds. That’s $15,000 per student volunteer!
The total regional impact of VITA-provided services yielded just over $1.3 million and nearly $330,000 in federal and state refunds, respectively, for residents.
Numbers, though, are just a fraction of the VITA success at Fredonia.
For students, acquiring professional confidence probably ranks as the biggest dividend. They gain valuable experience in professional client-accountant relationships. Interview skills are sharpened, a strict code of conduct is adhered to and client confidentiality is maintained. “They learn how to work with a diverse clientele as well that includes senior citizens, working families, students and non-English speaking clients,” added Dr. Hall, VITA coordinator.
Along the way, students realize what they’ve learned in the classroom has great value and see how it can be used to help the public.
While most VITA volunteers plan to become CPAs and have already taken their first taxation course, each must prepare for and pass an IRS-administered preparer certification exam. Five student program coordinators -- Jessica Bolsei, Ryli Chmiel, Molly Kassirer, Charlotte Passero and Amber Borkowski -- recruited this year’s VITA class. They attended a day-long site administrator workshop in Buffalo and conducted a software training session for their volunteers, each of whom must be certified at the highest level through online testing.
The Fredonia Technology Incubator provides a two-room suite as a working space for all client tax preparation sessions which are held from February to April. Students were on duty on Saturdays, 9:30 a.m. to 3:30 p.m., in the incubator, and Tuesdays and Thursdays, 5:30 to 8 p.m., in Thompson Hall.
For Ms. Kassirer, the VITA program was “a great way to solidify” what she’s learned in the classroom through the preparation of actual returns.
“Like most Accounting majors, I plan on starting out in public accounting and obtaining my CPA soon after. A lot of new graduates start their careers in tax so my participation in this program is a great asset. It helps to show employers that I have experience in tax preparation and also have a desire to serve the local community,” Kassirer added.
Mentoring is another high-value aspect of the program, noted Ms. Chmiel, vice president of the Accounting Society.
“Dr. Hall was there to answer any questions that we were unsure about, but also challenged us to think a little bit, research and figure it out before turning to her for what was normally a simple question.” VITA experience, she added, helps bridge the gap between school and the real world.
Ms. Passero also has her sights set on a CPA license and a job with a large accounting firm. “I think the experience working with real clients preparing real tax returns is second to none. Especially in today’s job market, the more professional experience students have, the better,” she explained.
Hall says one of the biggest challenges for students to overcome in recent years has been the Affordable Care Act. Since they’re typically covered by their parents’ health insurance, students have to quickly learn how its provisions affect taxpayers before they enter the workforce themselves.
All VITA volunteers were awarded IRS certificates for their service and acknowledged at the Business Administration’s awards program held Friday, May 6, at the Clarion Hotel and Conference Center.
Residents are very appreciative of the service that the students are providing, Hall noted. One of Chmiel’s clients worked full-time, had a young daughter in day care and also helped care for her mother, so tax time added to an already heavy work load. “She was very thankful and explained how invaluable this service was to her since she would often get stressed out over doing her taxes,” Chmiel explained.
The program helps people who genuinely need assistance with their taxes, Ms. Borkowski noted. “It’s nice to help people get the money back that they earned without them having to pay hundreds of dollars to do a return that takes us half an hour,” she said.
The biggest change in the program’s 36 years at Fredonia has been the use of technology, said Accounting Associate Professor John Olsavsky, who directed the program for 28 years. Gone are paper and pencil. All returns are filed electronically, on IRS-provided laptop computers, at the end of each client session.
Mr. Olsavsky attributes the program’s steady growth – the largest number of returns filed during his tenure was just 120 – to the greater use of the earned income tax credit. “Initially we had more student volunteers than tax returns to prepare. Now it’s flip-flopped. We have more tax returns to prepare than students,” Olsavsky said.
The VITA program at Fredonia was established by retired Accounting professor Anthony Falgiani to provide a means for students to give back – one of society’s expectations of people who aspire to belong to a profession. Much like lawyers providing pro-bono work in legal clinics and doctors serving in medical clinics, Olsavsky explained.
“This is how people in the professions give back,” he said.
