Taxpayer asks:
We were granted the full rebate but granted a partial rebate as that the difference was applied to IRS taxes owed, would we recive that difference this year?
Second question, my son did not work in 2007, worked in 2008, he is a dependent/student on my return, can he file for the rebate. I understand certain persons can claim the rebate if they did not receive one last year, but I can not find his situation noted? Thanks in advance
Taxgirl says:
Nope. You won’t receive the difference. If you received the full amount – but that amount was offset for back taxes, child support, etc. – you are not entitled to an additional credit.
As to your question about your son, he will not qualify for the credit. Since you are claiming him as a dependent on your return, he remains ineligible for the rebate.
The rebate rules from before still apply. For a refresher, check out this prior post about the size of your rebate check or this post about folks who are ineligible to receive a rebate check.
To be clear: the rules have not changed. If your situation has changed, that’s a different story. Generally, the credit will apply to folks who were income ineligible on their 2007 return but qualify with 2008 income, had a baby in 2008, or those that did not file.
It’s really important to note that most taxpayers have already received the proper rebate amount. The IRS estimates that only 3% of taxpayers are eligible for additional money. Just 3%.
As an aside, I’ve heard that many tax pros are advising their clients to skip the Recovery Rebate Credit line altogether in order to avoid confusion. The return instructions state that IRS will calculate any credit due if you want: enter “RRC” next to line 70 on your 1040 or line 9 on your 1040-EZ. I don’t know how widely this is being publicized and would love to hear what my colleagues are telling their clients…
Before you go: be sure to read my disclaimer. Remember, I’m a lawyer and we love disclaimers.
If you have a question, here’s how to Ask The Taxgirl.
Interesting about the Line 70, Kelly. I hadn’t heard about that one. At H&R Block, there were some problems earlier in the week, but by Thursday (I just work Thursdays and Fridays), we were back to preparing returns as usual. What I’ve been doing is just checking each client on the IRS’s “How Much Was My Stimulus Payment” page, and entering the correct number. However, if the client is due to get additional money (I’ve only had one, so far, who was), we tell them that it’s going to take an extra couple of weeks for the IRS to cough it up. So if they want one of our refund-loan products (which almost all Block customers do), we tell them, “This is how much you’ll get, but $300 of it will take longer than the rest.”
Urb
We (AARP) have been told to fill in the rebate amount received on the RRC worksheet for our computer sites but to leave the rest of the form blank. We’re still up in the air on the paper sites, but I really don’t expect to see more than one or two (if any) this tax season who would be eligible for more rebate money. Personally, I’ve looked over the worksheet; and it wouldn’t give me any trouble. It would just take a bit more time.
Hello,
I am sooooo confused. I will be 64 in August 2009. I received $300.00 for a stimulus last year, 2008. I have been perminately disabled since 1998, due to a drunk driver, and living on what I receive from Social Security. Will I get another stimulus when I file my 2008 tax form, even though I don’t pay taxes any more because the SS is tax free? What do I need to do?
Thanks,
Donald