Free Money...

[Kosugi]

Isn't so free anymore. Read this!

smoke and mirrors

Particularly the following excerpt:

CNN: Brooks, what is the most common misconception about these "rebates"?

JACKSON: They are called "rebates" -- by politicians and even many of us in the news media, but they really are not rebates or refunds of taxes paid for last year. The IRS calls them "advance payments" of a tax credit for 2001. That means you are getting right now an advance of a tax reduction that would have been received next April. So your refund next April will be reduced by the amount of the check you may be receiving now (or you will owe that much more) Clear?



If you got 300 dollars this year, you will get 300 dollars less next year in your refund.
If you got 600 dollars this year, you will get 600 dollars less next year in your refund.


Thanks George!

 

[MrBond]

There have been other threads about this, but it's been a while.

I thought it worked this way. Because the tax tables have been adjusted, you pay LESS, hense your refund would be less next year. I mean, you can't really pay less and get the same amount back, our government has a surplus, but it's not THAT much.

And if anyone has a problem accepting their tax rebate check due to their principles, pm me for my mailing address. You can sign the check, and contribute to the "Help pay for Tom's textbooks this fall fund" . In return, you'll get a nice thank you card and the knowledge they you helped take the edge off what is sure to be a massive book bill. Cause I'm not getting a rebate

 

[syzygy]

this sounds like hmmm . . . hooey. if you've never recieved a refund
or don't expect to receive a refund of at least 300.00, does that mean
you will owe the government more or you will pay more in taxes next
fiscal year to offset the negative difference ? could dubya be so
inclined to political suicide ? i think we're missing something here.

 

[Kosugi]

MrBond,


I read this as "this is not a refund or rebate, but we are giving you 300$ of your next years refund now. Therefore, regardless of how much you-make/we-tax, your refund next year will be 300$ less, or if you have to pay, you will pay 300$ more."


The most important thing to realize is that this is not a refund. You are "borrowing" against your refund next year.


Am I mistaken?

 

[Servnya]

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