With poll: With April 15 almost here, it's a taxing time for preparers and filers

The H&R Block in Arborland was crowded with filers Tuesday who were rushing to meet the April 15 tax deadline.

Angela Cesere | AnnArbor.com

The 13 desks inside the office are at full-throttle, with evening hours extending to 10 p.m. and to midnight on April 15. “After that, it’s a moot point,” Dibbs said. 

Even for those planning ahead, filing returns can be taxing. The free AARP-sponsored tax preparation services offered at the downtown Ypsilanti District Library filled up earlier than past years, said Joy Cichewicz, branch manager.

Some filers have simply procrastinated, perhaps stalling the pain of having to pay additional taxes. Some are just busy, putting it off until the final hours. Others, like shoppers who flood the mall on Christmas Eve, like the thrill of filing last-minute, Dibbs said.

And some who are new to the American system of filing taxes think April 15 is the only day to do so. The Arborland office is the closest location to the north side of Ann Arbor, where many international students live. 

“Many international graduate students, especially if it’s their first year here, don’t realize there’s a tax season. They think they need to file April 15, so they come at the end. My office tends to be busiest at the end,” Dibbs said.

Still, other groups traditionally file early, especially those anticipating a refund. Many filers who lost their jobs in 2009 were greeted with bad news, Dibbs said.

Lower income households that usually receive a $2,000 to $4,000 refund because of the earned income credit won’t see the windfall if they were laid off in 2009 and went on unemployment. Unemployment doesn’t count as earned income, so there is no credit, she said. 

“There’s been a lot of disappointment," Dibbs said. "Instead of getting back $2,000, they're getting back $200 and decide to not even file, figuring the $200 isn’t worth the $100 (fee to H&R Block to file the return).” 

It's not a strategy Dibbs suggests. “Maybe they plan to file two returns next year,” she said.

Fewer people overall are filing returns, Dibbs said. Nationwide, H&R Block has seen a 6.3 percent drop in returns filed over last year, which mirrors what the Internal Revenue Service has reported, Dibbs said.

Tax advisor Kimberly Wolcott helps Ann Arbor resident David Rozian prepare his taxes at H&R Block in Ann Arbor.

Angela Cesere | AnnArbor.com

Still, for those who do, there are some new rewards. “There are some really nice tax credits that are part of the (economic) stimulation package,” Dibbs said.

They include the Making Work Pay credit ($400 for a single person, $800 for a married couple filing jointly), the enhanced American Opportunity Credit that allows college students to receive up to $1,000 back even if their tax burden drops to zero, and the granddaddy of them all - the First Time Homebuyers credit, which allows first-time homebuyers up to an $8,000 credit.

Appointments for the free tax filing service offered by AARP at the downtown branch of the Ypsilanti District Library have been filled since early February, Cichewicz said.

“We’ve turned away more people this year," she said. Over the past two weeks, Cichewicz has fielded three or four calls a day from people needing help and has referred them to other agencies.

AARP has five locations in Ann Arbor, Ypsilanti and Saline that file a total of 450 to 500 returns, said Peter Klaas, who coordinates the volunteer effort. While the service targets low- and middle-income people 60 and older, it’s open to anyone but limited to basic returns. 

The $250 federal Recovery Act payment made almost a year ago has caused a fair amount of confusion on 2009 tax returns, Klaas said. Some filers weren’t sure whether they received the payment, Klaas said. 

“And for the first six weeks, there was no way to quickly check if they had," he said. "In May, the IRS finally set up an 800-number.”

While many tax returns are filed electronically, procrastinators who file paper returns could run into another headache. While Ann Arbor’s main U.S. Post Office on West Stadium at one time stayed open until midnight on April 15 to accept returns, that's changed, said a Post Office official. 

Ann Arbor’s mail is now processed out of Pontiac, and the last truck leaves at 6:30 p.m. Still, the West Stadium Post Office will hand stamp returns until 8 p.m. Thursday, he said. But they must be dropped off in the slot inside the Post Office and not in the box outside.

Last year, Dibbs of H&R Block had a customer who completed the paper forms after area Post Offices closed, she said. 

“They ended up driving to the Royal Oak Post Office, which was open late.”

Janet Miller is a freelance writer for AnnArbor.com. Reach the news desk at news@annarbor.com or 734-623-2530.