Filing your return for 2007 has absolutely nothing to do with whatever money they are proposing.

Ok, that's GREAT to hear.

Can you tell me what it is they are proposing?
I am wondering how it will work, do I qualify,
and how will it be applied for if it is passed.

Thanks for the help.

Pooh Bear

No one, including Congress, knows what will result from this proposal. Anything can happen when our brilliant elected representatives try to figure out a way to stimulate our messed up economy. There are more productive things to do at the moment than daydream about this possibility...

I heard yesterday the earliest the IRS could send out rebate checks will be May-June timeframe (assuming Congress can act this month). All kinds of numbers are being talked about, but the most common seem to be $300 to $800 per taxpayer.

If and when I get mine, I'm gonna stick it under the mattress :-)

If it is like the prior rebate checks, everyone who pays taxes will get the $300-800 check. It has nothing to do with 2007, but will be part the taxes you would get back or pay next year. If you normally get $1000 back etc., next year you would get the $1000 less the rebate amount. They are only giving you part of next years tax refund early, it isn't "free" money.

you just burst my bubble with the next year (2008) attachment.

If one has enough tax credits to offset all of next year's tax obligations, wouldn't that mean a "potential" tax rebate would be nil? It seems obvious, you can't get more than you paid.

We are doing an adoption and are entitled to ~$11,000 in adoption cost tax credits which will apply next tax year since we could not finish the adoption by Dec 31.

If it was attached to this year, I'd be able to spend it as we can't offset our costs to this tax year. Makes me pay some of those adoption bills which the 2008 tax credit would apply to anyways, so much for stimulating the economy with a tv or yard work. I had excess 2007 tax money, but none foreseeable in 2008.

We don't make enough money each year to pay taxes.
The only reason we get money back is because of the
Earned Income Credit. It just covers our property taxes.

It sounds like what ever is decided on the tax rebates
wouldn't help us anyway. So I'll be doing taxes today.

Thanks.

Pooh Bear

Last time, you went to your mailbox one day and there was a check from the govt.

IIRC, it had nothing to do w/ the following year's taxes. Otherwise, it would be a stimulus in 2008 but an anti-stimulus in -09 (from all those people getting smaller/no refunds).

They'll pay for it by printing more money, which will just delay the day of reckoning a while (not that I won't cash the check, mind you).

From what I understand, they are trying to work it out so that even if you don't make enough to pay taxes, you will get a refund. Something to do with basing it on the payroll tax so that it will not affect SS.

I saw that on CNN this morning.
Even if you don't make enough to pay income tax,
you would get a $300 rebate if you made at least $3000.
Wonder if that means a married couple would get $600.
That would be almost enough to pay us out of debt.

Pooh Bear

Even if you don't make enough to pay income tax,
you would get a $300 rebate if you made at least $3000.
Wonder if that means a married couple would get $600.

I assume if you both earn wages (not unearned income like dividends and such), then you would get $600.

My wifes works. I am disabled. I only get SSI.
My son didn't live with us for 2007, but is for 2008.
I wonder how/if that will affect this for us.
I didn't get to claim my son on our 2007 tax return,
but we will get to claim him for 2008.
So if they go by our 2007 return, that skews the current picture.

Pooh Bear

Rumour has it that there's to be a multi-pronged election this year, on the level of gov't. that runs the main income tax system.

Not to be one next year.

Who wants to bet that they'll choose to delay the rebate till next year?

Jes' wonderin'.

ole joyful

It seems obvious, you can't get more than you paid.

LMAO

Not in the US. You can owe nothing and get back anything witheld and them some extra.

Looks like this will be a tax cut on the bottom bracket for Tax year 2008 with a rebate on the cut based on your 2006 filings. (No way the 2007 data will be available before August.)

The people who are really going to get shafted is anyone who made under the cap for the goodie bag in 2006 and don't qualify in 2008. They'll get the rebate and then owe it back.

The people who are really going to get shafted is anyone who made under the cap for the goodie bag in 2006 and don't qualify in 2008. They'll get the rebate and then owe it back.

I'm hoping that they will base it on the 2007 AGI (because I went be to work Jan 2,2008). In other words, the government cuts the check based on the 2006 return but then will adjust on the 2007 return. Then if the taxpayer makes ovr ethe threshold in 2007, they will owe it back in 2008. AcK! If the plan is this confusing how can it be good or even reasonable?

Good and reasonable are not two words
that I would associate with the IRS.

No income taxes were with held for 2007,
but we still get a rebate for $428 (EIC).
Next year we will get approximately $2700.
Of course when you add it all together
we are still well below the poverty level.
So every little bit we can get helps a lot.

Pooh Bear