Saturday, March 29, 2008

File Income Tax Quickly To Get Your Rebate Sooner

You've probably heard about the tax rebate the U.S. government is sending, to stimulate the economy. But I'm still hearing from people who have been misinformed about various aspects of it.

Some people think you can't get the rebate if you don't file by April 15. That's not the case -- you get the rebate after you file, so if you wait till later in the year you're not missing the rebate, just delaying it. So file as early as you can! And file electronically if possible to speed things up more. Furthermore, if you specify direct deposit for your refund, then you'll get the rebate that way too -- and quicker.

Some people think the rebate will end up being "paid back" on their next year's taxes. No, that was because of some misleading terminology in some of the early descriptions of the rebate. The rebate is really, truly, extra money -- not just an advance on next year's refund. In fact, if you don't qualify on your 2007 tax return, you may qualify on your 2008 return if you meet the requirements at that time.

For more details, you can go to the IRS web site. Here are a few things you will find there:

----------

The vast majority of people who file a 2007 income tax return qualify, and many who don't regularly file a tax return may qualify as well. You're eligible if you have a valid Social Security Number (SSN), can't be claimed as a dependent on a tax return and have either an income tax liability or "qualifying income" of at least $3,000.

How do you get it? Just file a a federal tax return for 2007, even if you normally don't have to because your income usually doesn't meet the filing threshhold. You can't get it if you don't file.

How much will you get? The actual amount depends on the information contained on your tax return. Eligible individuals will receive between $300 and $600. Those who are eligible and file a joint return will receive a total of between $600 and $1,200. Those with children will get an additional $300 for each qualifying child.

----------

The web page for all the information, straight from the IRS, is http://www.irs.gov/newsroom/article/0,,id=177937,00.html. It even has a calculator so you can get a better idea of how much you will get.

Labels:

0 Comments:

Post a Comment

Links to this post:

Create a Link

<< Home