Lake Area Tech Students Prepare to Launch 38th Annual Free Tax Prep Clinic

Northeast Radio SD News - Watertown, SD - As tax season officially arrives, Lake Area Technical College (LATC) is preparing to open its doors for the 38th consecutive year of the Volunteer Income Tax Assistance (VITA) program. The clinic, which provides free tax preparation services to the community, is scheduled to run from February 3 through March 14, 2025.

Staffed by students in the LATC Financial Services department and overseen by instructors Lorna Hofer and Kerry Stager, the program offers more than just a free service; it provides students with invaluable real-world experience. Last year, the clinic successfully prepared 540 tax returns during its six-week run.

Eligibility and Scope: The VITA program is designed to assist low- to moderate-income individuals and senior citizens. While the program handles a wide range of common tax forms—including W-2s, 1099-Rs for retirement income, and basic Schedule D capital gains—certain complex returns are outside the IRS-mandated scope. Small business owners (Schedule C) are eligible only if they have no employees, no inventory, and have not incurred a loss.

New for 2025, taxpayers should be aware of several significant changes for the 2025 tax year, mainly stemming from the state’s “OB3” legislation:

·        Senior Tax Relief: Citizens aged 65 and older qualify for an enhanced $6,000 tax deduction, regardless of whether they have started receiving Social Security.

·        Tip and Overtime Deductions: Taxpayers can now deduct up to $25,000 in qualified tips. Additionally, the premium portion of overtime pay (the “half” in time-and-a-half) is now non-taxable.

·        Car Loan Interest: Interest on loans for new vehicles purchased in 2025 may be deductible if the vehicle was primarily assembled in the U.S.

·        End of Paper Checks: The IRS is phasing out paper checks. Taxpayers who do not use direct deposit may face a six-week delay while the IRS attempts to contact them for banking information.

How to Visit The clinic is located on the first floor of the Dana J. Dykhouse Business Center at the northeast corner of Arrow and 11th. No appointments are necessary, as the service is walk-in only.

Clinic Hours (Feb. 3 – March 14):

·        Tuesdays: 12:00 PM – 3:00 PM

·        Thursdays: 12:00 PM – 3:00 PM & 5:00 PM – 8:00 PM

·        Saturdays: 9:00 AM – 12:00 PM.

Taxpayers are reminded to bring a photo ID, Social Security cards for all individuals on the return, all current tax documents (W-2s, 1099s), and banking information for direct deposits or auto-payments.