There’s nothing like a few extra dollars – this time in the form of tax rebates – floating around to bring out the worst in people. Don’t get scammed. Know your facts.
One of the biggest scam opportunities in recent tax years involves the tax rebates from the economic stimulus plan and the question of direct deposit. It’s important to understand the IRS’ position on direct deposit, refund anticipation loans (RALs) and tax rebates.
1, You can have your rebate check direct deposited into your bank account but only if you choose this option when filing your 2007 income tax return. If you do not choose direct deposit when filing your 2007 income tax return, you will receive a paper check. There is no additional paperwork to be filed and you cannot receive your tax rebate by credit card – so ignore any phone calls and emails that say otherwise.
2, If you choose to receive a refund anticipation loan (RAL), contract with any other lender or enter into a financial agreement with your tax professional (which I personally do not recommend), you will not receive your tax rebate by direct deposit. You will receive a paper check.
I can’t emphasize this enough. The only way that you can “speed up” your tax rebate is to file your 2007 taxes early and request direct deposit on that tax form. Do not listen to scam artists that promise an early rebate by any other method.
Also keep in mind that tax rebates will be mailed in May. Any person or company that promises you a rebate prior to May is not being honest with you.
P.T. Barnum didn’t die – he just moved on to the Internet. For every sucker there is a scam artists waiting to take advantage.
Ah – good call. Didn’t know we had the option. I like it, and am in the process now. Will have to let the tax guy know. Thanks for the info…
* Form 16 is a certificate issued by the employer at the end of the year and provided to the employee. This certificate provides details of the salary income of the employee and the TDS deducted from the employee’s income.
* Form 16 is all you need to file ITR if you have reported all your income to your employer.
* It is your right to obtain F16 from the employer within 15 days time after the end of the financial year.
* Obtain your Form 16 early, so that you can file your return early. The earlier you file, the faster you will get refund.
* Your chance of scrutiny reduces by filing early.
* Ensure that you have F16s from all the employers that you have worked for during the year.
taxspanner.com
Nice Article