PFRDA

tax rebate for those on social security?

Now that the tax rebate has been approved does anyone know if those who receive social security old age or disability but do not file an income tax return will get a rebate? I heard that there was talk of this but do not see this mentioned in the info I have read today. It looks like those who file jointly will get the full refund for married even if only one had income. Do others read it that way also?

Public Comments

1. In order to recieve the rebate you will need to file a tax return for 2007. If you recieved at least 3000 in benefits you will recieve a refund even if you paid no income taxes.
2. Yes to both. Comments in the stories make it clear that SS recipients will get letters about the rebate because of their listing with SS Married payments are based on married which doesn't require both to have income - it is national policy to support marriage even if the tradtional form calls for the woman to stay home and not have an income while the husband has all the income, thus the marriage tax break.
3. You are eligible for the rebate based on social security income, but you will have to file a return this year to get it, even though you don't normally file. And yes, on a joint return, if the return meets is eligible, you get the rebate for both people. Rebate will be $300 per person, or $600 on a joint return, if your only income is social security. And don't pay someone to prepare it - if you aren't comfortable doing it yourself, see https://locator.aarp.org/vmis/sites/tax_aide_locator.jsp to find a TCE site near you - they'll do your return at no charge. You don't have to be an AARP member to use this service.
4. You need to file either a 1040A or a 1040. You can not file a 1040EZ. A 1040EZ will not show the $3000 or more of Non-Taxable Social Security Income you need to show to prove that you are eligible for the tax rebate. Try to use TurboTax Freedom Edition (which is Free) at: http://turbotax.intuit.com/taxfreedom/ To force it to use a 1040 form instead of the 1040EZ, I had to tell the program I had Other Miscellaneous Income from a Hobby of $0 and related expenses or $0. This was enough to force TurboTax Freedom Edition to use a 1040 Form instead of the 1040EZ Form. Of course, if you really have Hobby Income and Expenses, you need to fill them in there. I hope this tip I discovered helps lot of people on Social Security and Social Security Disability. Jim. :)
5. For recipients of Social Security and certain veterans’ benefits and low-income workers who don’t normally need to file, the IRS also released a special version of a Form 1040A that highlights the simple, specific sections of the return that can be filled out by people in these categories to qualify for a stimulus payment. For details, see this information from the IRS web site: http://www.irs.gov/irs/article/0,,id=179182,00.html
6. You need to file to receive a rebate. You also need $3000 in "qualifying income" (which includes Social Security retirement and veterans’ disability) to receive a $300 rebate. If you file jointly, although only one had income, each qualifies for the $300 rebate.