Liberty Tax Service Ready to Assist New Class of Taxpayers

VIRGINIA BEACH, VA--(Marketwired - Nov 20, 2014) - Liberty Tax, Inc. (NASDAQ: TAX) -- President Obama's decision to ease rules on some undocumented immigrants and allow them to work legally in the United States will have a direct impact on tax collection, giving many the opportunity to file tax returns as a means of proving residence in the United States. Liberty Tax, Inc., the parent company of Liberty Tax Service and SiempreTax+, is uniquely positioned to assist this new population of taxpayers. For years, Liberty Tax Service has provided certification for its tax preparers serving largely Hispanic communities, including training directly related to services for foreign-born taxpayers. Earlier this month, Liberty launched SiempreTax+, a national tax preparation brand staffed by Spanish-speaking employees and focused on the needs of the Hispanic market.

 "The president's decision means that many more people may seek help with immigration paperwork and filing tax returns because proof that they've been paying taxes is one of the principal ways they can demonstrate they've been living and working in the U.S.," said Liberty Founder and CEO John T. Hewitt. "We are the one tax company that understands the needs of this market. We've been in these communities for years, listening to customers and adding services to ensure that we deliver what they need."

Undocumented immigrants contributed an estimated $10.6 billion in state and local taxes in 2010, according to a study by the Institute on Taxation and Economic Policy. The study suggests that figure that would increase by an estimated $2 billion per year should those same immigrants be allowed to work legally in the United States. As far as personal incomes taxes are concerned, the study forecasts that immigration reform will result in a substantial increase in tax payments.

Liberty Tax Service has been nationally recognized for its service in the Hispanic community and its work with recently arrived immigrants. Liberty's strategy is to offer many avenues to reach the fast-growing population and to create repeat customers by providing services that meet their unique needs. Along with tax preparation, Liberty Tax Service and SiempreTax+ assist non-citizens, at no charge, in applying for an Individual Taxpayer Identification Number (ITIN). The ITIN, and filing taxes each year, helps establish a record of residency in the United States, which we understand will be a requirement under the president's executive order.