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I have started to do a segment on fridays called “Financial Fridays” where I will write about something having to do with personal or business finance. I have always been intrigued with money and making it work so this is a natural progression for this blog. If you have questions you want to submit just click the contact me link above.

In talking with friends and co-workers I have been asked a few questions about the Economic Stimulus Package money that American tax payers are suppose to receive over the next couple of months. Here are a couple that I thought I would highlight:

I just graduated College in December and my father claimed me as a dependent in 2007. This is the last year he will be doing it but is there anyway for me to get a check?

The money that we are all receiving is actually an advance of a tax credit that we all will receive on our 2008 tax return. Since the IRS can’t look into the future to know they are going on the information for 2007 for your advance. Since life situations change often in a year you might be eligible on your 2008 return to claim any or more then what you are receiving.

So to answer your question if you are Single and filing on your own for 2008 you can claim a $300 credit on your 2008 taxes. Also if you have a child in 2008 you can claim the extra amount you would have received. There will be a second chance worksheet that will help you determine that in 2009 when you do your 2008 taxes.

So when are we getting them!?

The direct deposits are already starting to go out and here is the chart from the IRS.gov website.

Direct Deposit Payments

If the last two digits of your Social Security number are:

Your economic stimulus payment deposit should be transmitted 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

Got a question you want me to answer for Financial Fridays just hit the contact me link in the top menu.

Comments

Todd Rafferty on 2 May, 2008 at 12:52 pm #

I’m not disputing the tax credit statement, but according to this:
http://www.consumerismcommentary.com/2008/02/08/how-will-the-economic-stimulus-tax-rebate-affect-2008-tax-returns/

You had to have filed taxes in 2007 and earned over $3000.00 in 2007.


J.J. Merrick on 2 May, 2008 at 1:46 pm #

@Todd… hmm yeah I don’t know if that means that if you earn $3k in 2008 but not $3k in 2007 that you would get the extra. I will see about getting clarification on that. I figured it would be whatever you 2008 taxes would be period.


Todd Rafferty on 2 May, 2008 at 1:54 pm #

According to the URL, it’s $3000.00 in 2007. The whole stimulus plan is based off of gross earnings you made in 2007. From my understanding, it’s “new” credit on 2008s tax returns that I don’t have to pay back.

So, if my understanding is correct, your college friend is getting nil due to the fact that he/she was claimed by his/her father. If he didn’t file as a single, then he/she’s not getting anything in this stimulus plan.

Furthermore this also has 2007 earnings plastered all over it: http://www.irs.gov/newsroom/article/0,,id=179095,00.html


Marie Pacha on 9 May, 2008 at 8:49 am #

I hope you find the following message appropriate. It concerns a serious problem with the economic stimulus payments.

For the past few days I have found myself totally frustrated by the inefficiency of the Federal Government.

I filed my 2007 tax refund by paper copy (I filled out my own forms) and received my refund some time ago by direct deposit into my checking account. Based on my social security number my economic stimulus payment was scheduled to be direct deposited in that same account on May 2. It has not. Please note; this is only a very small part of my issue.

The IRS finally confirmed on the 7th that the deposit was made. It just wasn’t made to my account; in fact the routing number and last four digits of the account it was posted to bear no resemblance to the ones on my tax forms.

The individual at the IRS I spoke with didn’t know how to report this. She had no supervisor available for me to speak to.

The FBI hung up on me, because they don’t “handle this.”

The IRS hotline email address finally responded yesterday morning, but informed me that I needed to contact another branch of the Treasury Dept., but their initial email neglected to give an address or phone number. Eventually they did respond with that and I reported this issue to what I believe is the proper department.

That Department (Treasury Inspector General for Tax Administration Complaints@tigta.treas.gov) has yet to acknowledge receipt of my correspondence, although I have certainly had emails from every single office that denies any responsibility or ability to help.

The crux of the matter is that someone or some entity altered the information on my tax information after it was entered into the IRS system. This is not a simple matter of transposing a couple of numbers; they are nowhere near similar to one another. And it is not a simple matter of just my little $300 (which only matters to me I suppose.)

If someone changed the numbers from my tax form (and someone had to, either that or the IRS computer system has been hacked) other accounts are also at risk.

Aside from the fact that it is nearly impossible to find a fast method of making direct contact with a human being employed by the Federal Government there is apparently no communication whatsoever between separate Departments or even offices within the Departments.

If no one has received, opened, and read my email reporting my problem, then no one has begun an investigation into the misappropriated funds. Certainly no one has contacted me for additional information regarding the problem. There are criminal issues here as well as the annoyance factor which I have been dealing with.

I have contacted my US Senators, my local police, and the Washington Post with this information. If the designated branch of the government will not work on the problem, I will continue to contact everyone I can think of and I will continue to make people aware of the problem I have encountered by means of the Internet.

Marie Pacha


Jerome Boikai on 13 May, 2008 at 5:04 pm #

If I am owing the back taxes to the fed, will I still get a money from the stimulus package?


J.J. Merrick on 13 May, 2008 at 6:15 pm #

@Jerome If you owe back taxes they will apply your money to your debt. If you owe more then the money you are getting they will keep it all otherwise they will send you what is leftover.


jason on 2 June, 2008 at 1:22 pm #

there were a reported 100,000 people who mistakingly will not get a stimulus check because there significant others do not have a ssn. where does the rest of the 168 billion dollars go


nks on 20 July, 2008 at 4:02 am #

I filed jointly my USA tax’2008. When i filed the tax, i filed against my SSN & my wife’s TIN. After a month, i filed a tax amendment with only change to my wife’s SSN (previously TIN).

So far i am waiting for the stimulus package. Below is my primary SSN falling in the range.

SSN (10 through 18 ) =>> May 23 (stimulus package date from irs)

Is there anyway to inquire about it? How & when to get it? Thanks for the suggestions. - nks


J.J. Merrick on 20 July, 2008 at 8:03 pm #

@nks I would suggest using the online finder at http://www.irs.gov/individuals/article/0,,id=181665,00.html

It will tell you if it has “shipped” and if it has where to call if it is over 6 weeks.

Hope that helps!


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