Rebate--From The Horse's Mouth

[epiphany]

According to the IRS website, the 2007 rebate will neither be taxable nor increase tax liability for 2008.

http://www.irs.gov/newsroom/article/0,,id=179181,00.html

[One Half Full]

Yeah. Good work epiphany!!!

[cool33097]

Great news, thanks.

[Cali]

Hopefully this is true.

[AMISLANDER]

Went to the IRS site in regards to: if you are in repayment/and or/owe IRS.....they will keep the rebate. But, you'll then owe less.

Damn.

[PaKettle]

I was going to post this but you beat me to it:
Anyway, here's more confirmation:
(from : http://turbotax.intuit.com/support/k...tips/5462.html)
(This site says it will continue to update the page if necessary so bookmark it and check back.)
(from the site above):
"Will I have to give the rebate back at some point? Or will it be taxed next year and reduce my refund?

No.

However, you might have to report it on your 2008 tax return.

While most people refer to it as a rebate, the IRS is calling it a "stimulus payment."

It’s money the government wants Americans to spend to boost the economy. The money will be borrowed by the government and added to the federal deficit."

[rilbrianne]

That's the big question I had... will I have to pay it back? I'm hoping that was a definite NO. I was going to keep it in the bank to pay it back... which would defeat the whole purpose of the "rebate" in the first place.

[PaKettle]

That's the big question I had... will I have to pay it back? I'm hoping that was a definite NO. I was going to keep it in the bank to pay it back... which would defeat the whole purpose of the "rebate" in the first place.

Look at the links provided. The answer is "no, you will not have to pay it back".

It MAY be counted as income, but that should not increase your taxes very much, if at all.

[epiphany]

Look at the links provided. The answer is "no, you will not have to pay it back".

It MAY be counted as income, but that should not increase your taxes very much, if at all.

Actually, according to the site, it won't increase your liability or decrease your refund:

Q. Will the payment I receive in 2008 reduce my 2008 refund or increase the amount I owe for 2008?

A. No, the stimulus payment will not reduce or increase your refund when you file your 2008 return.

I think the exception to that is if you have outstanding taxes, student loans, or child support owed. It is my understanding that your rebate would be applied in some fashion to those first and I am assuming that would be the reason that the rebate is to be reported on the 2008 return.

Sorry, Amislander...I feel your pain.

EP

[epiphany]

Thanks for that link Pa. I didn't think I would get the maximum, 'cause I didn't in 2001 but according to this I should..good to know.

EP

I was going to post this but you beat me to it:
Anyway, here's more confirmation:
(from : http://turbotax.intuit.com/support/k...tips/5462.html