IRS Free File for Tax Rebates
Federal Return Required for Economic Stimulus Payment
The only way to claim a tax rebate is to file a 2007 tax return. Individuals should file a federal tax return if they qualify for a tax rebate.
On March 6, 2008, the IRS announced that the Free File program has been extended to individuals who normally don’t file a tax return, but must do so in order to claim a tax rebate.
The IRS cautions that people who wish to take advantage of this free resource should only access online providers through the special section of the IRS website devoted to this program. This will ensure individuals are accessing the providers’ legitimate websites for IRS Free File.
The following online providers offer free filing to those who don’t have a legal obligation to file a 2007 tax return but are doing so in order to claim a tax rebate:
- TurboTax. This company offers step by step instructions to help individuals complete the bare bones tax return information required to claim their federal income tax rebate checks.
- FileYourTaxes. This provider also offers simple instructions.
- Tax$imple. Individuals may be prompted to download a special program in order to be able to use this service.
Individuals may choose to print the list of instructions on the provider site before they begin the tax return process. This will make navigating the screens much easier.
What Information Is Needed to Claim a Tax Rebate?
Other than personal information for themselves and dependents, individuals should have on hand statements that support qualifying income of at least $3,000. Individuals who don’t normally file a return may have Form W-2 or various Form 1099 income to report. This includes, but is not limited to, Social Security benefits, railroad retirement benefits, and wages, interest, or dividends.
What Should People Who Normally File a Tax Return Do?
The same general rule applies – these individuals must file a 2007 tax return as well. It just might not be free. Individuals who normally file a return may be eligible for free e-filing under the regular IRS Free File program or free tax preparation assistance through the IRS-sponsored Volunteer Income Tax Assistance Program.
Expect Economic Stimulus Payment Notices in March 2008
Throughout the month of March 2008, the IRS will be mailing reminder letters to inform individuals who filed a tax return last year that they must file again in 2007 in order to receive a tax rebate check. The IRS will also be mailing special reminders to recipients of Social security or railroad retirement benefits in late March 2008. It is possible that individuals who do not receive any type of letter from the IRS still qualify for a tax rebate. All individuals should carefully check their eligibility for a stimulus payment, regardless of whether or not they receive a letter from the IRS.
Source: IRS Website
