How the Tax Code Can Help Bridge the Racial Wealth Gap

As a volunteer income tax preparer in the Bronx, I’ve worked with residents whose adjusted gross income often drops below the federal poverty line. Many of them are black, and their tax returns usually involve one or two sources of wage income or Social Security benefits. Rarely have they accumulated interest or capital gains, so their wealth is all but non-existent. Unfortunately, this is the story for many black households who hold up to nearly 13 times less wealth than their white counterparts. For them, though, tax season is not…