Vicki Venable, Enrolled Agent
IT'S NOT TOO LATE TO FILE FOR YOUR
2008 ECONOMIC STIMULUS PAYMENT...
Even though the April 15 deadline has passed, it is not too late to file for your Economic Stimulus Payment this year. Persons who qualify for the payment must file a 2007 tax return by October 15, 2008.
Millions of people are eligible but may not know it, or think it is too late to get a payment. These are certain retirees, disabled veterans and low-wage workers who normally don't file a tax return because their income is too low or nontaxable. This year, they must file to receive their stimulus payment.
The IRS will issue Economic Stimulus Payments of up to $600 for individuals ($1,200 for married couples) plus $300 for each eligible child under age 17 starting in early May, based on 2007 tax returns processed by
April 15, 2008. (See Schedule below).
Stimulus Payment Schedule for Tax Returns
Received and Processed by April 15, 2008
People who have no tax filing requirement but have at least $3,000 in qualifying income must file a simple Form 1040A tax return to obtain their stimulus payment. The law provides a minimum payment of $300 ($600 for married couples) plus the $300 payment per eligible child, if the person (or married couple) qualifies.
Qualifying income includes any combination of earned income, nontaxable combat pay as well as certain payments from Social Security, Veterans Affairs and Railroad Retirement.
WHY IS MY STIMULUS PAYMENT LESS THAN I EXPECTED?
The types of Social Security benefits that are considered qualifying income include retirement, disability and survivor payments. Supplemental Security Income (SSI) is not qualifying income. The types of Veterans Affairs benefits that are considered qualifying income include disability compensation, disability pension and survivor payments. Qualifying Railroad Retirement payments inclde the social security equivalent portion of Tier 1 benefits.
People not otherwise required to file an income tax return must file a simple Form 1040A with basic information to ensure that they receive the Economic Stimulus Payment. This information includes their name; address; dependents, if any; amount of their qualifying income (which must be $3,000 or more); direct deposit information and their signatures. Form 1040A and instructions are available on the IRS Web site at www.irs.gov or by calling:
1-800-TAX-FORM (800-829-3676).
All eligible persons, including qualifying children, must have Social Security numbers. People with Individual Taxpayer Identification Numbers are not eligible. Also, people cannot be claimed or be eligible to be claimed as a dependent on another's tax return to qualify for a payment.
