Notice2023-09698
Low Income Taxpayer Clinic Grant Program; Availability of 2024 Grant Application Package
Primary source
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Published
May 8, 2023
Issuing agencies
Treasury DepartmentInternal Revenue Service
Abstract
This document contains a notice that the IRS has provided a grant opportunity in www.grants.gov for organizations interested in applying for a Low Income Taxpayer Clinic (LITC) matching grant. The IRS is authorized to award multi-year LITC grants not to exceed three years. (Organizations currently participating in the LITC grant program that are submitting a Non-Competing Continuation Request for continued funding for 2024 must do so electronically at www.grantsolutions.gov). Grants may be awarded for the development, expansion, or continuation of programs providing qualified services to eligible taxpayers. Grant funds may be awarded for start-up expenditures incurred by new clinics during 2024. The budget and the period of performance for the grant will be January 1, 2024--December 31, 2024. The application period runs from May 8, 2023, through June 26, 2023.
Full Text
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<title>Federal Register, Volume 88 Issue 88 (Monday, May 8, 2023)</title>
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[Federal Register Volume 88, Number 88 (Monday, May 8, 2023)]
[Notices]
[Pages 29804-29805]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-09698]
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DEPARTMENT OF THE TREASURY
Internal Revenue Service
Low Income Taxpayer Clinic Grant Program; Availability of 2024
Grant Application Package
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Solicitation of grant applications.
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SUMMARY: This document contains a notice that the IRS has provided a
grant opportunity in <a href="http://www.grants.gov">www.grants.gov</a> for organizations interested in
applying for a Low Income Taxpayer Clinic (LITC) matching grant. The
IRS is authorized to award multi-year LITC grants not to exceed three
years. (Organizations currently participating in the LITC grant program
that are submitting a Non-Competing Continuation Request for continued
funding for 2024 must do so electronically at <a href="http://www.grantsolutions.gov">www.grantsolutions.gov</a>).
Grants may be awarded for the development, expansion, or continuation
of programs providing qualified services to eligible taxpayers. Grant
funds may be awarded for start-up expenditures incurred by new clinics
during 2024. The budget and the period of performance for the grant
will be January 1, 2024--December 31, 2024. The application period runs
from May 8, 2023, through June 26, 2023.
DATES: All applications and requests for continued funding for the 2024
grant year must be filed electronically by 11:59 p.m. (Eastern Time) on
June 26, 2023. All organizations must use the funding number of TREAS-
GRANTS-052024-001, and the Catalog of Federal Domestic Assistance
program number is 21.008, see <a href="http://www.sam.gov">www.sam.gov</a>. The IRS is scheduling two
optional webinars, Session One on May 11, and Session Two on May 15,
2023, to cover the full application process. See <a href="http://www.irs.gov/advocate/low-income-taxpayer-clinics">www.irs.gov/advocate/low-income-taxpayer-clinics</a> for complete details, including posted
materials and any changes to the date and time.
FOR FURTHER INFORMATION CONTACT: Karen Tober at (202) 317-9590 (not a
toll-free number) or by email at <a href="/cdn-cgi/l/email-protection#bdd6dccfd8d393c9d2dfd8cffdd4cfce93dad2cb"><span class="__cf_email__" data-cfemail="5f343e2d3a31712b303d3a2d1f362d2c71383029">[email protected]</span></a>. The IRS office
that provides oversight of the LITC grant program is the LITC Program
Office, located at: IRS, Taxpayer Advocate Service, LITC Grant Program
Administration Office, TA:LITC, 1111 Constitution Avenue NW, Room 1034,
Washington, DC 20224. Copies of the 2024 Grant Application Package and
Guidelines, IRS Publication 3319 (Rev. 5-2024), can be downloaded from
the IRS internet site at <a href="https://www.taxpayeradvocate.irs.gov/about-us/litc-grants/">https://www.taxpayeradvocate.irs.gov/about-us/litc-grants/</a> or ordered by calling the IRS Distribution Center toll-
free at 1-800-829-3676. See <a href="https://youtu.be/6kRrjN-DNYQ">https://youtu.be/6kRrjN-DNYQ</a> for a short
video about the LITC Program. Note: To assist organizations in applying
for funding, the ``Reminders and Tips for Completing Form 13424-M''
available at <a href="https://www.taxpayeradvocate.irs.gov/about-us/litc-grants">https://www.taxpayeradvocate.irs.gov/about-us/litc-grants</a>
will include instructions for which questions an organization should
complete if requesting funding only for the English as a second
language (ESL) Education Pilot Program described in this notice.
SUPPLEMENTARY INFORMATION:
Background
Pursuant to 26 U.S.C. 7526, the IRS will annually award up to
$6,000,000 (unless otherwise provided by specific Congressional
appropriation) to qualified organizations, subject to the limitations
in the statute. For 2023, pursuant to the Consolidated Appropriations
Act, 2023, Congress doubled both the overall LITC grant funding level
from $13 million in FY 2022 to $26 million and the maximum amount that
may be awarded to any clinic from $100,000 in FY 2022 to $200,000. See
Public Law 117-328, Division E. The President's 2024 budget request
includes a continuation of the overall LITC grant funding level at $26
million and the $200,000 per-clinic funding cap. In light of the
President's budget proposal and the uncertain timeline for final
congressional action, the IRS will allow applicants to request up to
$200,000 for the 2024 grant year. The IRS will also continue the ESL
Education Pilot Program that was rolled out as part of the February
2023 supplemental funding opportunity. See 88 FR 13864-13866 (March 6,
2023). If Congress ultimately does not continue the LITC Program's
funding at $26 million and/or the increased per-clinic funding cap of
$200,000, the IRS will adjust each grant recipient's award to reflect
any limitations in place at that time. At least 90 percent of the
taxpayers represented by the clinic must have incomes which do not
exceed 250 percent of the poverty level as determined under criteria
established by the Director of the Office of Management and Budget. See
88 FR 3424-25 (Jan. 19, 2023). In addition, the amount in controversy
for the tax year to which the controversy relates generally cannot
exceed the amount specified in Internal Revenue Code (IRC) section 7463
($50,000) for eligibility for special small tax case
[[Page 29805]]
procedures in the United States Tax Court. IRC section 7526(c)(5)
requires clinics to provide dollar-for-dollar matching funds, which may
consist of funds from other sources or contributions of volunteer time.
See IRS Pub. 3319 for additional details.
Mission Statement
Low Income Taxpayer Clinics ensure the fairness and integrity of
the tax system for taxpayers who are low-income or ESL by providing pro
bono representation on their behalf in tax disputes with the IRS;
educating them about their rights and responsibilities as taxpayers;
and identifying and advocating for issues that impact low-income and
ESL taxpayers.
Expansion of the Type of Qualified Services an Organization Can Provide
IRC section 7526(b)(1)(A) authorizes the IRS to award grants to
organizations that represent low-income taxpayers in controversies
before the IRS or provide education to ESL taxpayers regarding their
taxpayer rights and responsibilities. In recent years, the IRS has not
awarded grants to organizations that solely refer taxpayers to other
qualified representatives. Similarly, the IRS has required
organizations receiving grants to provide both controversy
representation and ESL education.
To achieve maximum access to justice for low-income and ESL
taxpayers, the IRS has expanded the eligibility criteria for a grant by
removing the requirement for eligible organizations to provide direct
controversy representation. In addition, pursuant to the new ESL
Education Pilot Program started in 2023 and continuing for 2024, a
grant may be awarded to an organization to operate a program to inform
ESL taxpayers about their taxpayer rights and responsibilities under
the IRC without the requirement to also provide tax controversy
representation to low-income taxpayers. See IRS Pub. 3319 for examples
of what constitutes a ``clinic.''
Selection Consideration
Despite the IRS's efforts to foster parity in availability and
accessibility in choosing organizations receiving LITC matching grants
and the continued increase in clinic services nationwide, there remain
communities that are underserved by clinics. The states of Hawaii,
Montana, Nevada, and North Dakota, and the territory of Puerto Rico
currently do not have an LITC. In addition, two states--Arizona and
Florida--have only partial coverage. The uncovered counties in Florida
are Baker, Bradford, Citrus, Clay, Columbia, Dixie, Duval, Flagler,
Hamilton, Hemando, Lafayette, Madison, Nassau, St. Johns, Sumter,
Suwannee, and Taylor. The uncovered counties in Arizona are Apache,
Coconino, and Navajo.
Although each application for the 2024 grant year will be given due
consideration, the IRS is especially interested in receiving
applications from organizations providing services in these underserved
geographic areas. For organizations that intend to refer low-income
taxpayers in controversies with the IRS to other qualified
representatives rather than providing representation directly to low-
income taxpayers, priority will be given to established organizations
that can help provide coverage to underserved geographic areas. For the
ESL Education Pilot Program, special consideration will be given to
established organizations with existing community partnerships that can
swiftly implement and deliver services to the target audiences.
As in prior years, the IRS will consider a variety of factors in
determining whether to award a grant, including: (1) the number of
taxpayers who will be assisted by the organization, including the
number of ESL taxpayers in that geographic area; (2) the existence of
other LITCs assisting the same population of low-income and ESL
taxpayers; (3) the quality of the program offered by the organization,
including the qualifications of its administrators and qualified
representatives, and its record in providing services to low-income
taxpayers; (4) the quality of the organization, including the
reasonableness of the proposed budget; (5) the organization's
compliance with all Federal tax obligations (filing and payment); (6)
the organization's compliance with all Federal nontax monetary
obligations (filing and payment); (7) whether debarment or suspension
(31 CFR part 19) applies or whether the organization is otherwise
excluded from or ineligible for a Federal award; and (8) alternative
funding sources available to the organization, including amounts
received from other grants and contributors and the endowment and
resources of the institution sponsoring the organization.
For programs where all or the majority of cases will be placed with
volunteers, we will also consider the following: (1) the quality of the
representatives (attorneys, certified public accountants, or enrolled
agents who have agreed to accept taxpayer referrals from an LITC and
provide representation or consultation services free of charge; and (2)
the ability of the organization to monitor referrals and ensure that
the pro bono representatives are handling the cases properly, including
taking timely case actions and ensuring services are offered for free.
Applications and requests for continued funding that pass the
eligibility screening process will then be subject to technical review.
An organization submitting a request for continued funding for the
second or third year of a multi-year grant will be required to submit
an abbreviated Non-competing Continuation Request and will be subject
to a streamlined screening process. Details regarding the scoring
process can be found in Publication 3319. The final funding decisions
are made by the National Taxpayer Advocate, unless recused. The costs
of preparing and applying are the responsibility of each applicant.
Applications may be released in response to Freedom of Information Act
requests after any necessary redactions are made. Therefore, applicants
must not include any individual taxpayer information. The IRS will
notify each applicant in writing once funding decisions have been made.
Kim S. Stewart,
Deputy National Taxpayer Advocate.
[FR Doc. 2023-09698 Filed 5-5-23; 8:45 am]
BILLING CODE P
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