Tax Rebate Question

Discussion in 'Budget Board' started by daughtersrus, Mar 14, 2008.

  1. daughtersrus

    daughtersrus DIS Veteran

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    I've read that even those that normally don't file a return should file one this year so that they can get this rebate.

    My father passed away in January 2008. He normally didn't file a tax return because the only income that he had was Disability.

    Should the executor of his will be filing a 2007 return for this rebate?
     
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  3. kimsuenew

    kimsuenew DIS Veteran

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    I am sorry for your loss. I have no doubt this is a very hard time for you and now you have additional worry. The last I read on the rebate was that in order for a person to receive it, they had to have earned $3,000.00 income in 2007. That might have changed however, in the final version. I would inquire with an advisor, or have the ex. do so, just to be sure. Take care, Kimberly
     
  4. trip

    trip family trip planner

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    My Father passed away in February and I was wondering the same thing.
     
  5. froglady

    froglady <font color=red>DIS Veteran<br><font color=limegre

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    I'm sorry for your loss. As long as the cost to file the tax form does not exceed the amount of the rebate, I would do it.
     
  6. pearlieq

    pearlieq <font color=green>They can sit & spin<br><font col

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    Did he have a tax liability in 2007? If he did, I would definitely do it.

    If he didn't and he only qualifies for the $300 rebate, it would depend. If he would have a simple return that you could do or have an accountant do very cheaply, I would still go ahead. $300 is better than nothing, especially with all the costs of settling an estate.

    I'm so sorry for your loss.
     
  7. pyrxtc

    pyrxtc <font color=deeppink>Married 10-5-02<br><font colo

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    I'm sorry but I don't think the rebate would come since it is an early rebate for your 2008 taxes and since he is deceased (sorry to hear), he will not be filing a return next year.

    When you send his return in, be sure to write deceased across top or atatch a not to the return stating the date of his death and that this will be his last return due to lack of income. If they are not informed of his death, they may try to come after him for any taxes in the future.
     
  8. Adi12982

    Adi12982 DIS Veteran

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  9. rflorek

    rflorek DIS Veteran

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    The stimulus payment is based upon your 2007 tax liability. Since he was alive for 2007, he should be entitled to it.
     
  10. Kaa

    Kaa <font color=blue>Moderator<br><font color=green>I

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    My in-laws haven't filed a return for years and asked me to prepare their return this year so they could receive the rebate. Turbo Tax offers a free service for filers making under $54,000. I was able to e-file their return for free.
     
  11. dopeyfanatic

    dopeyfanatic DIS Veteran

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    The rebate is suppose to be an advance tax cut on your 2008 taxes. Yes, they're using 2007 for now, but my understanding is that it would be adjusted when you do taxes next year if you actually ended up not getting as much as you should have. I wouldn't think you would get one for him, but it wouldn't hurt to call and ask! Sorry about your loss!
     
  12. imsayin

    imsayin DIS Veteran

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    If he doesn't earn any income, they have nothing to come after.
     
  13. rflorek

    rflorek DIS Veteran

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    It's not an advance at all - see this from the IRS website:

    "What is it? It's an economic stimulus payment that more than 130 million households will receive starting in May. It's not taxable, and it won't reduce your 2007 or 2008 refund or increase the amount you owe when you file your 2008 return."
     
  14. juliana_sd

    juliana_sd DIS Veteran

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    It actually is an advance (on a one-time reduction in taxes for tax year 2008, so it's a wash). So I would assume someone who is deceased wouldn't get one... but from http://www.irs.gov/newsroom/article/0,,id=179181,00.html :

    Q. If an individual dies, what happens to his or her direct deposit or stimulus check?

    A. Stimulus payments will be issued in the name of the individual eligible for payment on a filed 2007 income tax return or to the account designated by the individual on that return. Any issues or concerns involving a decedent's filed return or the related stimulus payment should be addressed by the legal representative of the decedent's estate.
     
  15. mumom95

    mumom95 DIS Veteran

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    Here is how I thought it was:

    They are basically going to lower your taxes in 2008 (just the one year, but it's actually on 2007's income) by the amount you will get , but they are going to give it to you now instead of waiting until you file next year.

    For example: If you would normally get back $1000 in 2008, and you are a family of four, they are going to fix the taxes so that you would get back $2800 (the original $1000 and then another $1800 for being a family of four), but they are going to give you the $1800 this year, so you'll still only get $1000 back in 2008. That way you won't end up owing next year. And I thought they were just using the 2007 tax returns to determine who gets how much.

    Now, I have no idea how this plays out in your situation. I am very sorry for your loss, I've lost both parents and know how it feels. I would just ask the attorney who is handling the estate, I'm sure they can find out.
     
  16. HelenePA

    HelenePA <font color=red>I could use a cupcake now<br><font

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    :lmao: I had NO idea dead people would get this too! I have to file a final return for my grandmother who actually died a year ago tomorrow :( and I am the one dealing with the estate.
     
  17. ceecee

    ceecee DIS Veteran

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    They wouldn't have much luck finding him.
     

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