Tax question

[brianhos]

Anyone know the answer to this?

Do you have to include your 2008 stimulus checks on your taxes this year? How does that work? This last check was a loan against your 2008 taxes right?

 

[TxCycloneFan]

No, it is a rebate from taxes paid in 2007.

 

[DanCyn]

Nope. The stimulus check was tax free. Even the state of Iowa passed legislation to keep it from becoming taxable income.

There's still a place to report it on the tax forms, but that's only to determine if you're entitled to a rebate that you didn't get last year.

 

[brianhos]

No, it is a rebate from taxes paid in 2007.

Are you sure, i thought it was against your 2008 return and not 2007.

 

[CyCloned]

Actually the stimulus is based on 2008 income/dependent information, but it is not going to be taxable. Since it is based on 2008, anyone that had a change in status in 2008, may be able to claim the Recovery Rebate. IE, if you had a child born in 2008, you might qualify for more money.

 

[eclone]

The stimulus rebate was technically an advance on your 2008 taxes. It is not taxable for federal or state of Iowa, but if you go to a tax preparer take it in as they will have to put it in the system because if certain circumstances have changed and you are due additional stimulus money it will come as part of your 08 refund.

For example if you were in college last year and your parents claimed you as a dependant in 07, but now have graduated and are claiming yourself in 08, you will have stimulus money coming your way. Also, if you had a child in 08, you will get stimulus money for them.

Fortunately, it doesn't work the other way and no one will owe money back to the IRS even if their 08 taxes wouldn't qualify them for the full amount they received.

 

[brianhos]

Nope. The stimulus check was tax free. Even the state of Iowa passed legislation to keep it from becoming taxable income.

There's still a place to report it on the tax forms, but that's only to determine if you're entitled to a rebate that you didn't get last year.

Ok, that is what I was looking for. I was not eligible in 2007 because of stock sales, but in 2008, I made a ton less, so I should have gotten a stimulus check because I fall well under the eligibility line.

 

[eclone]

Also calling it a loan against 2008 isn't really correct as they removed taxes on the lowest bracket for 2008 so the stimulus is completely additional money, you will not get less of a refund in 2008 because of it

 

[brianhos]

You guys are great, I knew CF would know the answers.

 

[TxCycloneFan]

No, it is a rebate from taxes paid in 2007.

Sorry I was thinking of the thing from a few years ago.

 

[AIT]

You guys are great, I knew CF would know the answers.

CF is great for answering questions. Whether or not you get the right answers is the issue :biglaugh:

 

[uro cy]

I'm sure this thread will be admissible at your audit

 

[brianhos]

I'm sure this thread will be admissible at your audit

I am just wondering if I would get a stimulus check now because I did not get one earlier. I found an IRS article on it, and the answer is yes. I guess I better go find something to spend my extra refund on.

 

[CY ST8T]

Don't worry, Obama will give you more where that came from! Sorry, making it political will probably get this shut down huh?

 

[uro cy]

I guess I better go find something to spend my extra refund on.

You could become CFs greatest donor.....the Jacobson of CF...maybe even get a forum named in your honor