We have to pay taxes on that "rebate", right?

[oldtime dfl_er]

I remember a few years ago, we got one of these "alternative to an actual economic policy" checks, and had to pay taxes on it as income. Right?

[jojo54]

1. Got that right!!

It's counted as "earned income".

How incongruous - earned income.

[napi21]

2. I suspect it will be handled the same way they did it a few years ago.

It's really an advance on a future refund.

[oldtime dfl_er]

3. er..but I don't usually get a refund

just sayin

[napi21]

5. Then it would simply be added to your tax bill. n/t

[RebelOne]

6. Neither do I. So I will be mailing that rebate check back. n/t

[Blue_In_AK]

4. Any rebate I get

will go immediately right back to the government. Taxes are due, and I always owe.

[rsdsharp]

7. I wouldn't actually mind paying taxes on the "rebate."

In 2001 it was actually an advance against a refund to be received in 2002. ALL of the rebate had to be paid back. It either reduced your refund by the amount of the check you received, or, as in my case, was tacked on to the amount you owed.

I vividly remember using a computer tax program to do my 2001 taxes. It kept a running tally of how much you owed or would receive as a refund, and it changed as information was inputted. The last question asked for the amount of the rebate you had received. When I answered, the amount of federal tax I owed jumped from $332 to $932. Fortunately, I had never believed it was anything but a shell game, and had put the "rebate" into savings against just such an eventuality.