1. CFED’S ASSETS LEARNING CONFERENCE SEPTEMBER 22 – 24, 2010 WASHINGTON, DC Self-Employment Tax Initiative Empowering Entrepreneurs at Tax Time

2. Session Goals Overview of Self-Employment Tax Initiative (SETI) Describe Other SE Tax Prep Models & Strategies Discuss Plans for 2011 Introduce the SETI Resource Bank

3. Self-Employment Tax Initiative Using the tax code to deliver essential business development and financial services to low-income entrepreneurs. 4-year Demonstration: Tax Years 2006 – 2009 Data Analysis & Research on SE as Self-help Jobs Policy to Improve Tax Interface for SE Businesses

5. SETI: Over 33,000 SE Tax Filings 62% Claimed Refundable Credits Over $30 Million Over $11 million Saved in Tax Prep Fees 21% First-time SE Filers 52% Rely Solely on SE Income 88% Reported Net Profit 33% Latino; 27% African-American; 27% White; 5% Asian; 1% Native American 13% Childcare; 8% Construction; 8% Janitorial; 5% Drivers & Couriers

6. DROP-OFF STRATEGY WEB-BASED TAX PREP REFERRAL PARTNERSHIPS Promising Practices

7. The Drop-off Strategy Maximum Flexibility for Both Clients & Staff/Volunteers Year-round Support; Quarterly Reminders Effective Strategy for Serving Remote, Rural Areas 1. Tax Prep Packets Mailed 2. Complete Packets Dropped- off 3. Taxes Prepared by Volunteers 4. Clients Return to Review & Sign

8. Web-based Tax Prep Technology Link Clients to Tax Prep Through Partners Video conferencing Train Partners to Prepare Clients Suitable for Remote Locations & to Serve People with Disabilities Maximize Use of Specially-trained Staff & Volunteers SE Businesses Expert Tax Prep Tech

9. Referral Partnerships Leverage Organizational Strengths with Partnerships Fill the Gaps for Client Needs Tax Time Link to Asset- Building Products & Services to Help Grow Businesses MDOs, VITA, credit unions, community colleges, etc. Sch C Tax Prep Training & Coaching Financial Products Back-office Support MicroloansTax Credits

10. INNOVATION CLUSTER SCHEDULE C PILOT RESOURCE BANK & FIELD TA SETI: 2010 – 2011

11. Tax Year 2010 Innovation Cluster Brooklyn Credit Union Partnership Link to Training, Business Accts & Loans Earned-income California MDO Network Partnership Link to Training & Microloans State Microenterprise Assoc. Seattle VITA-Community College Partnership Link to Training & Coaching Community College

12. http://cfed.org/programs/seti/resource_bank/

13. HTTP://CFED.ORG/PROGRAMS/SETI/ LAURA ARCE DIRECTOR, SETI LARCE@CFED.ORG Thank You!