The volunteer income tax assistance (vita) grant was established as a matching grant program to provide funding for organizations who support community volunteer income tax assistance

The Internal Revenue Service awarded the Volunteer Income Tax Assistance (VITA) Matching Grant Program grant (CFDA 21.009) to Northwest Michigan Community Action Agency, Inc. on October 1, 2025, in the amount of $150,000.

The recipient will extend free tax return preparation services through volunteer-staffed VITA sites to low to moderate income individuals, persons with disabilities, those for whom English is a second language, Native Americans, rural residents, Armed Forces members and their families, and the elderly in Michigan. Under the grant, Northwest Michigan Community Action Agency must achieve at least 90 percent of returns prepared for individuals whose income does not exceed the maximum Earned Income Tax Credit threshold, file all eligible returns electronically, meet 100 percent of return production goals, and demonstrate incremental increases in return preparation annually. The agency must also heighten quality control, enhance volunteer training, and improve return accuracy rates.

The grant period runs October 1, 2025 through September 30, 2026, with place of performance in Michigan. The recipient may utilize sub-recipients to deliver key program elements, provided they adhere to VITA grant program guidelines. As a matching grant, the award requires the recipient to document matching funds and maintain accounting records under Generally Accepted Accounting Principles for three years following submission of the final report.

Activities

The vita grant program provides financial support to organizations who 1) extend services to underserved populations in hardest to reach areas both urban and non-urban; 2) increase the capacity to file returns electronically; 3) heighten quality control; 4) enhance training of volunteers; and 5) significantly improve the accuracy rate of returns prepared at vita sites. End goal/expected outcomes: vita grant recipients are expected to 1) follow existing guidance governing vita site operations; 2) ensure at least 90% of returns prepared are for individuals whose income is equal to or less than the maximum earned income tax credit (eitc) thresholds; 2) file all eligible returns electronically; 3) achieve 100% of their return production goals; 4) become more efficient with grant funds; and 5) show incremental increases in return preparation each year.

Intended beneficiaries

Taxpayers who are low to moderate income individuals, persons with disabilities, those for whom english is a second language, native americans, individuals living in rural areas, members of the armed forces and their families, and the elderly.

Subrecipient activities

Subrecipients may be utilized by grant recipients to help deliver key elements of the program and must adhere to grant program guidelines. Broadband: specific activities relating to broadband usage are not known at the time of award.