Monday, April 28, 2008

Rebate Checks

This is from Kiplinger.com, but I am sure it is information that people want....

When to Expect Your Tax Rebate Check

IRS schedules payout dates for $107 billion in economic stimulus checks.

By Kevin McCormally

March 18, 2008

The last two digits of your Social Security number will determine when you’ll get your tax rebate check -- $600 for most taxpayers, $1,200 for couples who file joint returns, plus an extra $300 for every child under age 17 claimed as a dependent on 2007 returns.

The IRS announced yesterday that it hopes to pay the first 34 million rebates in the three weeks beginning May 2, wrapping up stimulus payments owed to most tax filers by early July. Taxpayers who haven’t filed their '07 returns in time to be queued up for the initial payout schedule will get their money later in the summer and into the fall.

Taxpayers who opt to have their 2007 tax refunds electronically deposited in their bank accounts will move to the front of the rebate line. The first payments will be made electronically May 2 to the accounts of refund taxpayers whose Social Security numbers end in 00 to 20.

The next batch, paid May 9, will go to those with Social Security numbers ending in 21 to 75. Then, on May 16, the final electronic payments will be made and, at the same time, the first paper checks will be issued . . . to taxpayers whose Social Security numbers end in 00 to 09. The rest of the checks will be issued according to the schedule outlined in the box below.

If you file a joint return, the timing of your economic stimulus check will be based on the Social Security number of the first spouse listed on the return.

Procrastinators may have to wait

Although you must file a 2007 tax return to get a rebate check (even if you otherwise don’t need to file), filing by the April 15 deadline does not guarantee that you’ll be get your check on the IRS-announced schedule. The agency said its timetable is for taxpayers whose 2007 returns are "filed and processed" by April 15. Since it takes a few days to process electronic returns and a week or more to handle paper forms -- especially those filed en masse as the deadline approaches -- waiting until the last minute to file is likely to delay your chance to put the rebate to work to stimulate the economy.

For the best odds of getting your money as soon as possible, file electronically at least a week before the April 15 deadline and have any refund direct deposited into your bank account. If you file on paper after April 1 and have a relatively low Social Security number, there’s a good chance your return will still be in the processing phase when the payouts begin. Rebates not paid as part of the initial rollout will be made on a weekly basis as the year progresses and 2007 returns are processed.

The IRS said Monday that no rebates will be issued for returns filed after October 15.

IRS timetable for rebate payments

Here’s the government’s plan for making the economic stimulus payments for taxpayers whose 2007 returns are filed and processed by April 15:

DIRECT DEPOSIT PAYMENTS
If the last two digits of your Social Security number are: Your rebate should be sent to your bank account by:
00 - 20 May 2
21 - 75 May 9
76 - 99 May 16
PAPER CHECK
If the last two digits of your Social Security number are: Your check should be in the mail by:
00 - 09 May 16
10 - 18 May 23
19 - 25 May 30
26 - 38 June 6
39 - 51 June 13
52 - 63 June 20
64 - 75 June 27
76 - 87 July 4
88 - 99 July 11

Calculate your tax rebate

IRS announced on March 17 that it has developed a calculator to help taxpayers estimate the size of their rebate. As noted above, most taxpayers who file as single, married filing separately or head of household will get $600, those who file a joint return will get $1,200, plus there’s a $300 bonus for each child under age 17 claimed as a dependent on your 2007 return. Some taxpayers will get less, however. The IRS calculator will estimate your rebate based on your 2007 return.

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