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 Prepare & Prosper, a St. Paul, Minnesota–based tax-exempt nonprofit, $280,000 under the Volunteer Income Tax Assistance (VITA) Matching Grant Program (CFDA 21.009) on October 1, 2025, for the delivery of free tax return preparation and filing services to low-to-moderate-income and underserved populations in Minnesota.

Prepare & Prosper will extend services to vulnerable populations including persons with disabilities, limited English proficient individuals, Native Americans, rural residents, military families, and elderly taxpayers. The organization must ensure at least 90 percent of prepared returns serve individuals at or below Earned Income Tax Credit thresholds, file all eligible returns electronically, and achieve 100 percent of annual return production goals. The grant funds enhanced electronic filing capacity, quality control measures, and volunteer training to improve tax return preparation accuracy.

The award runs through September 30, 2026. Prepare & Prosper may engage subrecipients to deliver program elements while maintaining compliance with VITA grant program guidelines. This is the organization's most recent consecutive annual award under the VITA Matching Grant Program since 2021; prior awards followed the same October 1 through September 30 structure.

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.