2008

The Property Tax/Rent Rebate program benefits eligible Pennsylvanians age 65 and older

Pennsylvania Property tax relief office has announced that the deadline to apply for a rebate on property taxes or rent paid in 2007 has been extended until 31/12/08.

What is the Property Tax/Rent Rebate program benefits eligible Pennsylvanians age 65 and older?

About 420,000 Pennsylvania seniors are eligible to receive help paying their property taxes or rent.
More than 200,000 will have their school property taxes completely eliminated, when statewide property tax relief is delivered to all homeowners from gaming funds.

Eligibility:

The income eligibility level for the Property Tax/Rent Rebate Program - $35,000 / year, excluding half of Social Security income.

Maximum rebate - $650 for homeowners.

Who else may be qualified to the rebate program?

Claimants or spouses 65 years of age or older
widows or widowers 50 years of age or older
permanently disabled 18 years of age or older

To see a table contains what homeowners will receive:

Income Vs. Maximum Rebate Table Homeowners Pennsylvania

What renters will receive?

Here is the table for the Max rebate Vs. Income - renters

Free stimulus payment return preparation workshop - SunHerald

The SunHerald has reported that people who receive at least $3,000 in earnings including seniors, VA disability benefits receivers or a retired railroad worker's pension would be given a chance to file their tax rebate payment as the IRS in Florida offers those with lower income to attend a free stimulus payment return preparation workshop 10 a.m. to 4 p.m. Thursday at the Isaiah Fredericks Community Center, 3312 Martin Luther King Drive, in Gulfport.

What to bring to the workshop?

A picture ID or identity document.
Verification of SSN (Social Security number) of the taxpayer, the spouse and qualifying children, if applicable.
Social Security card / letter or notice from Social Security or the Veterans Administration reflecting the SSN.
Form 1099.
Proof of any other income (taxable or nontaxable).

Time Is Running Out To Apply For Stimulus Payments

Rockbridgeweekly.COM reports that despite the given the fact that all tax rebate applications must be filed with the Internal Revenue Service by October 15, 2008,
Retirees, survivors and disabled persons have less than three months to apply for their $300 payments under the Economic Stimulus Act of 2008.

According to the IRS, as of June 9 more than 750 eligible area residents including retirees, survivors or disability payments, have not yet filed a Form 1040A to claim their payment.

More stimulus rebate checks on way - guampdn.com

Haven't Received Your Stimulus Check?, you have a good reason to believe your stimulus rebate payment is on the way to your mailbox.

Guampdn.com has reported that Department of Revenue and Taxation processed tax returns resulting in 18,522 rebate checks printed as of Friday last week.

The department stated it processes, on average, 1,700 tax returns a week, with tax rebate checks being cut every Friday on a first-to-file basis.

So, please check your your mail - your money might be there..

veterans benefits rebate

Individuals who receive Social Security, veterans benefits or Railroad Retirement benefits are eligible for a $300 tax rebate ($600 for married couples), as long as they earned at least $3,000 in qualifying benefits, earned income or a combination in 2007.

The IRS said last month that more than 5 million retirees and disabled veterans who are eligible for a piece of the $152 billion economic stimulus package have failed to take the steps necessary to get their tax-rebate checks.

How to file?
Download a copy of Form 1040A from the Irs website, or click on "Free File on the Irs website.
At the top of the form Write stimulus payment, fill your details, chose between direct deposit of your rebate check or have it mailed to you, sign, and wait for the money.

Senior Citizen Homeowners' Exemption (SCHE) -Tax Reductions for Individual Property Owners:
Senior Citizen Homeowners' Exemption (SCHE) for Owners of 1-3 family houses, condominiums, or cooperative apartments who are age 65 or older, and whose Federal Adjusted Gross Income, reduced by unreimbursed medical expenses, is less than $36,400 a year may qualify for a reduction to their assessed value of 5% - 50% (depending on income).
Homeowners who receive SCHE also automatically receive School Tax Relief.

Read more from NYC government

Source:
Indystar

Five Questions on How to Boost the Tax Rebate

Kiplinger tax center has published a great article providing us with 5 answers to most important rebate questions:

Pass the rebate on to a child
Children of divorced parents
New bride, new rebate
Retiring into the rebate
Death of a spouse

Read the answers here

Nearly 4,000 in county still need to file for tax rebate - Yuma sun

The IRS has already issued 76.5 million rebate payments worth $63.8 billion based on 2007 tax returns already processed.
Yet there are still nearly 48 million eligible Americans who have not yet filed the paperwork necessary to receive one.

In Ohio, there are roughly 227,000 individuals eligible for a rebate check who have not yet filed, according to the IRS.

Yumasun.com reports that about 3,680 retirees and disabled veterans in Yuma County are still eligible to file for economic stimulus payments, according to the Internal Revenue Service. And, 2,799 of them are in Yuma alone.

But there's still time to file and it's fairly easy to do.

"The IRS wants to let Yuma residents know that they still have time to file a 2007 tax return in order to receive the stimulus payment and that these payments are still going out," said Bill Brunson, IRS spokesman.

Read more

Iowa Citizen Action Network: Economic Stimulus Checks Insufficient

[Mason City, IA] – As Iowan’s are spending their economic stimulus checks on necessities and flood recovery, Iowa Citizen Action Network, Working Families Win, labor leaders, community groups and citizens joined together on Monday, July 14th at the Mason City Library to urge representatives from Iowa’s local congressional delegation to ensure the speedy enactment of an economic recovery and growth package. The listening post drew concerned citizens, organized labor, advocacy groups and social service agencies concerned about the real impact of the recession in Iowa and the urgent need for Federal action that goes beyond mere stimulus checks.

read more

Check Your Stimulus Payment Status - Irs hotline phone number

Although the letter from the IRS regarding your Stimulus Rebate Check did arrive to you by mail, and it said your check will be mailed soon, there are many reasons why you not to get the rebate.Basically, the main reasons why you are not going to get the paper check are:

You owe taxesChild supportyou owe child support
Financial aid payments as a student loan being owed.
An amended tax return has been filed - stimulus check will go out after the amended return has been processed - takes up to 8 weeks to be processed.
You receive supplemental security income (SSI) only - SSI is not taxable (Look at Box 5 of Form SSA-1099).
Problem with your post office - it does not forward government checks.
You have changed your address using the wrong form - The correct form is Form 8822.

IRS Hotline:

So your are angry about your tax rebate status, and you want to talk with a person, preferably from the IRS?, well, just like the tax fraud hotline, you have two phone numbers:

Use the two following IRS hotline phone numbers

1-800-829-1040
1-866-234-2942

you will either get an automated system / recorded messages or you will be lucky to get an irs representative.Related articles:IRS Offers New Toll-Free Numbers to Assist Taxpayers

What education tax credits are available for students?

A student may claim one education tax credit during any particular year:
The Hope Credit and the Lifetime Learning Credit.

The amount of the credit is determined by the amount you pay for "qualified tuition and related expenses" for each student and the amount of your modified adjusted gross income (modified AGI).

What are qualified tuition and related expenses?
Included:
Tuition, fees required for enrollment or attendance at an accredited college, university, vocational school, or other post–secondary educational institution that is eligible to participate in a student aid program administered by the Department of Education.
Example - fees for books, supplies, and equipment only if the fees must be paid to the school for the student's enrollment or attendance.

Not included:
Room, board, insurance, transportation, or other similar personal, living, or family expenses.

Hope credit:
You can claim a Hope Credit only for an "eligible student" and for only two tax years for each eligible student.

An eligible student can be you, your spouse, or your dependent for whom you claim an exemption.

For details who is An "eligible student" - Visit IRS

Lifetime Learning Credit:

The students takes one or more courses.
Eligible educational institution
Not limited to students in the first two years of post–secondary education.
Expenses for graduate–level degree work are eligible.

Related;
Claim your child's Tax credit

Last of Stimulus Checks Mailed - wctv.tv

Wctv.tv has reported that - Federal officials say the economic stimulus checks are having a positive impact on the economy.

The last batch of rebate checks was sent out Friday.
The checks average up to $600 for individual taxpayers, and are from a $150 billion economic stimulus program approved by Congress and the White House.

Read More

Information on Property Tax Rebate - Nyc

According to New York City ($400) Rebate program, you will receive a rebate check in October if you received a rebate check in 2007 and they:

Have not moved
Have paid your property taxes incurred before 1/7/08 in full.

Eligibility for the 2008 Rebate According to Property Tax Rebate - Nyc:

Owners of Class 1 properties (one, two, and three-family houses) and Class 2 condominiums and cooperative apartments that are certified as the owners' primary residence are eligible for the 2008 rebate if they are the owners of record as of 1/9/08, and they are current on payment of any property taxes incurred before 1/7/08.
For homeowners who own only one property and live in it, this is your primary residence.
For homeowners who own more than one property, your primary residence is the one that you live in for the majority of the year, where you are registered to vote, and, generally, is the address listed on your driver's license.

More details:

New York State and City Property Tax Rebate Information

Related Articles:

Unclaimed rebates

Shelby County - Rebates to be mailed in August

Later this summer, thousands of Shelby County property owners will see a homestead credit rebate check in their mailboxes.

Shelby County Auditor Amy Glackman is in charge of mailing out a total of $1,407,360 in refunds, but that will not occur until the county's property tax settlement is completed on July 17.

Glackman explained that roughly 11,000 out of 28,000 parcels in Shelby County have homestead exemptions, and only those property taxpayers will receive the rebate checks.

Read More

Citizen Rebates - Property Tax Rebate for Seniors

Administered by Access Nova Scotia on behalf of the Department of Community Services, The citizen rebates program is designed to help eligible seniors remain in their homes by providing them with an annual rebate on their municipal property taxes.

The program provides eligible homeowners with a 50% rebate on the municipal property taxes paid the previous year, up to a maximum of $400.00 per year.
The rebate is always based on the property taxes paid in the previous year.

More details:
Service Nova Scotia

Why the IRS may have taken your Rebate

Your stimulus rebate check past the mailing date and still hasn't arrived into your mail?

The IRS might be holding your rebate check as it holds stimulus checks of 1.8 million Americans.

The following are possible reasons for your check not to arrive:

One: You owe federal or state back taxes and your rebate will pay instead.

Two: You are behind in child support.

And three: You are behind on a student loan, your rebate will be used to pay your loan.

Source - wcpo.com

Tax Literacy Toolkit - Economic Stimulus Payments Video

National Taxpayer Advocate (NTA) Nina Olson leads the Taxpayer Advocate Service (TAS).

Taxpayers may find important information on Tas background highlights of tax programs, Cancellation of Debt Income and up-to-date information on current tax issues.

Whats important to us is the Economic Stimulus Payments.

You can Enter Here

First big wave of stimulus is over - $92 billion

For those Americans who filed their tax returns by April 15, the last of the paper checks were sent out Friday.
NEW YORK (CNNMoney.com) -- The Internal Revenue Service mailed out the last of 112 million stimulus checks on Friday to people who filed their tax returns by April 15. A total of $92 billion has been pumped into the nation's sagging economy since last April.

The IRS will continue to send checks to people who got extensions to file their 2007 returns. The IRS said it will get checks to stragglers by the end of the year if they file by Oct. 15.

Read more

Stimulus Payment Schedule for Tax Returns Processed by April 15

Economic stimulus payments will be issued according to the last two-digits of the main filer's Social Security number.

Payments will be made by either direct deposit or paper check, consistent with how people filed their 2007 tax return.

Direct deposit:
People who use direct deposit also will be among the first to receive the payments starting April 28.

Direct deposits will be made daily and completed on the dates listed below.
Payments should be received by close of business on the dates listed below.

Last two SSN digits:
00 - 20 Payments will be transmitted no later than 2/5/08
21 - 75 Payments will be transmitted no later than 9/5/08
76 - 99 Payments will be transmitted no later than 16/5/08

More details

Where's My Stimulus Payment - IRS

Specific Information about your Stimulus Payment will not be available until about one week before the payment is scheduled to be issued.

Stimulus Payments are being issued on a schedule according to the last 2 digits of the primary social security number (SSN) shown on your 2007 tax return.

If filing or preparation fees were deducted from your 2007 Refund or you received a refund anticipation loan, you will be receiving a check instead of a direct deposit.

What to do get to your Stimulus Payment information?
enter your Social Security Number
Filing status (Single, Married Filing Joint Return, Married Filing Separate Return, Head of Household, or Qualifying Widow
Number of Exemptions shown on your 2007 tax return.

Enter

How Much money Is 2009 stimulus payment Worth?

Eligible individuals — between $300 and $600
Joint filers — between $600 and $1,200
With eligible children — an additional $300 for each qualifying child

stimulus check status

Check your rebate status

Rebatestatus.com offers you a great service by which you can find the status of your rebate or premium submission.

How to use the service:
Enter your Last Name, Street Number, and Zip/Postal Code below.
All fields are required.

Check your Rebate status

Related:
Tax information for Homeowners

Claiming the Child Tax Credit - a great deduction option

Deductions reduces your amount of taxable income, and using credit directly reduces your tax bill.

How?
For example you can claim $2,000 child tax credit to take your bill down.

From IRS:
With the Child Tax Credit, you may be able to reduce the federal income tax you owe by up to $1,000 for each qualifying child under the age of 17.
The credit is limited if your modified adjusted gross income is above a certain amount. The amount at which this phase-out begins varies depending on your filing status:
• Married Filing Jointly $110,000
• Married Filing Separately $ 55,000
• All others $ 75,000

In addition, the Child Tax Credit is generally limited by the amount of the income tax you owe as well as any alternative minimum tax you owe.

Read More

Itemized deduction

As an Individual taxpayer, preparing your Federal income tax returns leaves you with a choice to subtract the standard deduction for your filing status or the total itemized deduction amount:

Itemize your deductions (from a list of allowable items) and subtract those itemized deductions from your Adjusted gross income (AGI).

Alternately, you can elect (and any applicable personal exemption deduction) to arrive at their taxable income.

From Wikipedia:

The choice between the standard deduction and itemizing involves a number of factors:

A comparison between the available standard deduction and allowable itemized deductions
Whether or not the taxpayer has or is willing to maintain the records required to substantiate the itemized deductions
If the total itemized deductions and the standard deduction are very close in value, whether the taxpayer would prefer to take the standard deduction to reduce the risk of change upon examination by the Internal Revenue Service (IRS). (The standard deduction amount cannot be changed upon audit unless the taxpayer's filing status changes.)
Whether the taxpayer is otherwise eligible to file a shorter tax form (like the 1040EZ or 1040A) and would prefer not to prepare (or pay to have prepared) the more complicated 1040 form and the associated Schedule A for itemized deductions.
If the taxpayer is filing as "Married, Filing Separately", and his or her spouse itemizes, then the taxpayer must itemize as well.

This limitation of itemized deductions is being phased out.
The total reduction is itself subject to a reduction.
For taxable years beginning in 2006 and 2007, the amount is reduced to 2/3 of the reduction, and for taxable years beginning in 2008 and 2009, the amount is reduced to only 1/3 of the reduction.

Get the most out of itemizing on taxes as a little planning can help maximize your deductions, read this Msn money itemized deduction 2008 tip and put money back in your pocket.

Tips on differentiating your income - Gross profit

Gross profit - Do you know what is it
Gross income includes everything you've earned as an income from different kind of sources including: salary, investment income - dividend income + interest income, prizes/awards you won and even the value of bartered goods or services you received.
Gross income also includes wages, income from certain retirement accounts, capital gains, royalty income, farm income,

Pensions.
Interest.
Dividends.
Fees / commissions.
Gross income derived from business.
Gains derived from dealings in property.
rental income
Alimony and separate maintenance payments received.
Annuities.
Income from life insurance and endowment contracts.
Income from discharge of indebtedness.
unemployment compensation.

Tax Rebate - AGI:
Reducing the gross income by filing the correct tax form - 1040/1040A - U.S. Individual Income Tax Return.
You can even try to fill the 1040A form online here.

Try IRS 2008 1040A form instructions.

AGI is the last number on the first page of the Form 1040, the standard U.S. income tax return form for individuals.

Form 1040A Income Tax Calculator

How to file W-4

Form W-4 is a tax form used by the United States Internal Revenue Service.

The form is used by employers to determine the correct amount of tax withholding to deduct from employees' wages.

From The IRS website:

The federal income tax is a pay-as-you-go tax.

There are two ways to pay as you go:

Withholding of income tax from your pay or from certain other income as pensions, bonuses, commissions, and gambling winnings.
In each case, the amount withheld is paid to the IRS in your name after considering the amount you earn and the information you give your employer on Form W–4.

or -

Estimated tax made for People who are in business for themselves.
You may have to pay estimated tax if you receive income such as dividends, interest, capital gains, rent, and royalties.
Estimated tax is used to pay not only income tax, but self-employment tax and alternative minimum tax as well.

wikipedia:

When filling out a Form W-4, an employee calculates the number of Form W-4 allowances you will claim, based on your expected tax filing situation for the year.
For each Form W-4 allowance taken, the amount of money withheld as Federal income tax is reduced.
This, in turn, reduces any tax refund for which you may be eligible, or conversely raises one's liability for taxes due.
No interest is paid on over-withholding.
Penalties are imposed for under-withholding beyond a certain threshold.
The IRS Withholding Calculator can also calculate withholding allowances - the amount of income tax to be withheld from each paycheck you receive, more exactly.

You may choose up to 10 withholding allowances.

Completing W-4 form is important because it allows your employer to withhold the correct federal income tax from your pay.

Find out how to complete Form W-4 2009

Related articles:
Tax withholding

Topic 753 - Form W-4 – Employee's Withholding Allowance Certificate

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