Taxpayer asks:
I have a query on the recovery rebate for the year 2008.
Let me explain my status as of last year and current year.
Last year :
Tax filed as “Married filing jointly”
Myself – have SSN
Wife – ITIN
KID1 – ITIN
Since my wife didn’t have an SSN, we didn’t qualify for the stimulus package, which I agree upon.
This year :
Tax filed as “Married filing jointly”
Myself – have SSN
Wife – SSN
Kid1 – ITIN
Kid2 – ITIN
Since my wife has SSN this year, I was expecting recovery rebate of around $1200 (600 each for myself and my wife). I understand that my kids don’t have SSN, so I won’t get any credit for them.
But the IRS department totally denied any credit saying that all the persons on the tax return should have valid SSN.
Is this correct? Last year many of my colleagues in similar situation got stimulus package for themselves and their spouse and not for kids. So why I have been denied the credit for myself and my wife this year ?
Your advice on the same would be highly appreciated.
Taxgirl says:
Unfortunately, the Internal Revenue Service (IRS) is right on this one. To be eligible to collect a rebate, you’re only eligible if “[y]ou and any family members listed on your tax return have valid Social Security numbers.”
I’m not sure why others you know might have received a check other than human error. I do know that some folks were filing MFS (married filing separately) to avoid being ineligible altogether – but that’s not something that I recommend in most circumstances. It’s rare that MFS produces a significantly better tax result, especially with dependent children.
I wish I had a better answer for you.
All that said, I’m not sure why your children would not have a SSN if you and your wife do – have you applied?
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.
