Sometime between the end of July and the end of September, most taxpayers should receive a check from the U.S. government.
The payments were authorized by the Economic Growth and Tax Relief Reconcilition Act of 2001 and are advance payments of a 2002 tax credit. This is a reduction of tax, not taxable income on your federal tax return (although it may be taxable in some states).
You don’t have to do anything. The IRS will process payments based on 2000 tax returns. If you haven’t yet filed a tax return for 2000, you won’t get a payment until you do. If you’ve moved since filing your last return, you need to file a change of address form with the U.S. Postal Service’s National Change of Address database (check with any post office) or you can file Form 8822 with the IRS.
Generally, if you had a tax liability for 2000 you’ll get a check. If you didn’t have a tax liabilty in 2000, but will in 2001, you can claim the credit on your 2001 return. Nonresident aliens and those who could be claimed as dependents aren’t eligible for the advance payment.
The advance payment is 5% of taxable income (i.e. income after deductions and some credits), to a maximum $300 for single taxpayers, $500 for heads of households, and $600 for married couples filing joint returns. Your taxable income for last year can be found on line 39 of your Form 1040 or line 25 of Form 1040A. If you had nonrefundable credits, you’ll find your taxable income on line 51 of Form 1040 or line 33 of Form 1040A.
Most taxpayers will get the full amount as an advance payment this year; some will have it split between this year and next; and some may get all of it as a credit on the 2001 tax return.
The advance payment will be reduced if you have any outstanding government debt, such as back taxes or a student loan, or if you have past-due child support obligations.
Checks will be mailed according to the last two digits of your social security number. If your social security number ends in 00 to 09, your check should be mailed the week of July 23. If it ends in 90-99, your check won’t be mailed until Sept. 24. You’ll find the complete mailout schedule on the IRS website, www.irs.ustreas.gov, or you can call the IRS TeleTax system at (800) 829-4477.
The payments were authorized by the Economic Growth and Tax Relief Reconcilition Act of 2001 and are advance payments of a 2002 tax credit. This is a reduction of tax, not taxable income on your federal tax return (although it may be taxable in some states).
You don’t have to do anything. The IRS will process payments based on 2000 tax returns. If you haven’t yet filed a tax return for 2000, you won’t get a payment until you do. If you’ve moved since filing your last return, you need to file a change of address form with the U.S. Postal Service’s National Change of Address database (check with any post office) or you can file Form 8822 with the IRS.
Generally, if you had a tax liability for 2000 you’ll get a check. If you didn’t have a tax liabilty in 2000, but will in 2001, you can claim the credit on your 2001 return. Nonresident aliens and those who could be claimed as dependents aren’t eligible for the advance payment.
The advance payment is 5% of taxable income (i.e. income after deductions and some credits), to a maximum $300 for single taxpayers, $500 for heads of households, and $600 for married couples filing joint returns. Your taxable income for last year can be found on line 39 of your Form 1040 or line 25 of Form 1040A. If you had nonrefundable credits, you’ll find your taxable income on line 51 of Form 1040 or line 33 of Form 1040A.
Most taxpayers will get the full amount as an advance payment this year; some will have it split between this year and next; and some may get all of it as a credit on the 2001 tax return.
The advance payment will be reduced if you have any outstanding government debt, such as back taxes or a student loan, or if you have past-due child support obligations.
Checks will be mailed according to the last two digits of your social security number. If your social security number ends in 00 to 09, your check should be mailed the week of July 23. If it ends in 90-99, your check won’t be mailed until Sept. 24. You’ll find the complete mailout schedule on the IRS website, www.irs.ustreas.gov, or you can call the IRS TeleTax system at (800) 829-4477.
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