The Incredible Shrinking Tax Rebate: Why It Isn’t What You Thought It Would Be
I’ve been getting a lot of email questions about the rebates that imply that all taxpayers are entitled to the full rebate. This is not the case. Here are some guidelines that might answer many of your questions…
You may receive a rebate if:
1, You have a valid Social Security number.
2, You file a 2007 tax return.
Your rebate amount may be reduced if:
1, You owe back child support.
2, You have prior federal tax liabilities (meaning for years 2006 and before).
3, You owe other federal liabilities such as overdue student loans.
4, Your AGI is over $75,000 for a single taxpayer or over $150,000 for married taxpayers.
5, Your net income tax liability is less than $600 for a single taxpayer and $1,200 for married taxpayers (check line 52 of your return).
You will not qualify for a rebate if:
1, You don’t file a 2007 tax return.
2, Your net income tax liability is zero and your qualifying income is less than $3,000. Qualifying income includes wages, net self-employment income, nontaxable combat pay, Social Security benefits, certain Railroad Retirement benefits and certain veterans’ payments.
3, Your AGI is over $87,000 for a single person or $174,000 for married taxpayers.
4, You are can be claimed as a dependent on someone else’s return (so yes, college students still being reported on your parents’ tax return, this means you).
5, You do not have a valid Social Security Number. ITINs are NOT sufficient.
6, You are a nonresident alien.
7, You file any of the following returns: Form 1040NR or Form 1040NR-EZ, Form 1040PR or Form 1040SS.
For more information about rebates, see the lists in the sidebar or search for “rebate” using the nifty lijit feature.
