really dumb question about the tax rebate/stimulus thing..

[vash]

whatever it is called.. i have been staying out of the news lately. lots going on in my life. if you make over a certain amount of money, it diminishes the rebate right? i am just wondering..

i took 3 months to close my bank account, and move over to a new one. it was hell. i thought i had all the bases covered. i do automatic payments, deposits, transfers, you name it. whatever i can do to stay out of any bank branch. i thought 3 months was sufficient. i closed my account yesterday. my wife just called and told me she got her government "gift", and asked if mine showed up in my account. she even followed up with, "if so, you can go ahead and close that account! FINALLY!"....DUH! i guess mine will be in limbo for awhile. hence my first question.

[masraum]

I don't think the rebate diminishes with increasing income. I think you get a set amount up to a certain income, and then if you surpass that income the rebate goes to 0. (I think).

Have you gotten tax refunds the past few years or have you been paying in? If you've been getting refunds direct deposit, then you'll probably have a problem getting it (I'm sure it's fixable). If you've been paying in then they may not know your info to direct deposit.

[VincentVega]

rebate goes to 0

yep

[VincentVega]

rebate goes to 0

yep

[Neilk]

It gradually decreases if your AGI is over $75k. Not sure by how much

[Neilk]

Just checked the IRS FAQ

Phase Out: The stimulus payment –– both the basic component and the additional funds for qualifying children –– begins to phase out for individuals with adjusted gross incomes (AGI) over $75,000 and married couples who file a joint return with AGI over $150,000. The combined payment is reduced by 5 percent of the income above the AGI thresholds.

Here are two examples of how the phase out works:

*
An individual with AGI of $80,000 and federal income tax liability in excess of $600 would qualify for a basic rebate of $600. Because this individual’s AGI exceeds $75,000, however, her rebate is reduced by $250 (the credit is reduced by multiplying the amount of AGI over $75,000 by 5%). The taxpayer receives an economic stimulus payment of $350.
*
A married couple with two children, AGI of $160,000 and federal income tax liability before the child tax credit exceeding $1,200 qualifies for a basic rebate of $1,200 and an additional qualifying child credit of $600 for a total rebate of $1,800. But because the couple’s AGI exceeds $150,000, their rebate is reduced by $500 (the amount of AGI over $150,000 multiplied by 5%). The couple receives an economic stimulus payment of $1,300.

[vash]

thanks everyone! especially to you neil.

[71T Targa]

Originally Posted by vash

my wife just called and told me she got her government "gift",

Did you file a joint return? If so, I think she got your "gift" too. :-)

[widebody911]

With my AGI I got a big phat goose egg of a rebate...

[Arizona_928]

if you owe on taxes the "gift" goes back to uncle same

[KFC911]

Originally Posted by widebody911

With my AGI I got a big phat goose egg of a rebate...

You were screwed royally...I got a full dozen of 'em

[Rick Lee]

I don't think my wife and I will be spending our rebates the way the gov't. wants us to. She owed about $670 when we did her taxes, so her rebate will replenish that account. Registering my three vehicles in AZ is gonna run me about $670 also and I'll be heading to DMV the day after I get my rebate.

[vash]

Originally Posted by phred68

Did you file a joint return? If so, I think she got your "gift" too. :-)

no we filed separately. a last "horrah" of sorts for the taxman. next year, we are going in together...

[sammyg2]

The tax rebate isn't really designed to stimulate the economy, it's main purpose is to discourage hard working successful people and offer incentives for them to be lazy, unsuccessful and Dependant on the government for handouts.

That way the democrats will have a better chance to win the election

[Rick Lee]

Originally Posted by sammyg2

The tax rebate isn't really designed to stimulate the economy, it's main purpose is to discourage hard working successful people and offer incentives for them to be lazy, unsuccessful and Dependant on the government for handouts.

That way the democrats will have a better chance to win the election

I would agree except that Bush supported the idea too.

[sammyg2]

Originally Posted by Rick Lee

I would agree except that Bush supported the idea too.

IIRC, Bush supported the idea of EVERY American WHO PAID TAXES gets a rebate check. I'm pretty sure that's what he submitted to congress.
the democrats in congress took his proposal and changed it to:

Every American who didn't make too much money gets a tax rebate, even those who didn't pay any taxes at all.

There's a BIG difference.

[Rick Lee]

Originally Posted by sammyg2

IIRC, Bush supported the idea of EVERY American WHO PAID TAXES gets a rebate check. I'm pretty sure that's what he submitted to congress.
the democrats in congress took his proposal and changed it to:

Every American who didn't make too much money gets a tax rebate, even those who didn't pay any taxes at all.

There's a BIG difference.

Bush's 2001 tax cuts and rebate checks were for all taxpayers. The rebate we're getting now may have been the Dems' idea, but Bush gave no resistance at all and I haven't seen one non-politician say this is a good idea. Seems to me Bush would have had a decent issue to use against the Dems by doing the right thing here and calling it useless, debt-increasing pandering to buy votes.

[teenerted1]

Originally Posted by Rick Lee

I would agree except that Bush supported the idea too.

of course he supported it...i was his fricking idea. same as the last one that really made a difference then too.

in this case "It is Bush's Fault!"

[berettafan]

all this vote buying; it's shameful.

[the]

Originally Posted by Rick Lee

I would agree except that Bush supported the idea too.

Bush is a Democrat.