Okay, what’s the deal?
This tax relief will produce ‘refund checks’ :dubious:, but are these refunds or ‘advances’, and what can we expect to get back…or get an advance on?
And, what does that mean to next year’s taxes?
I’m confused.
As I understand it, if you’ve got children, you’ll be getting a check amounting to $400 for each of the little devils sometime this year. It’s not a refund of any of last year’s taxes, but rather an advance on your taxes for 2003. So, when you do next year’s taxes, instead of taking the new $1000 credit for each child, you’ll take only $600 (since you will already have gotten $400).
In addition to that, if you’re having taxes withheld from your salary, the withholding tables will be adjusted so that you’ll end up having somewhat less money withheld.
I am confused too. From what I read online on MSNBC ( and of course, I can’t find the article again…) it won’t help me too much!
It helps if you have a kid under 17 or if you’re over 65 and things like that.
Is there a savy tax person out there to explain it to us!?
Not the one I had seen, but some info about the tax break in there.
Lots more info on CNN.
The bottom line is that it will help you if you have minor children, or if you get substantial income from dividends on stocks (unless those stocks are already tax-sheltered in an IRA or 401k plan), or if you realize substantial capital gains, or if you’re currently getting hit with the marriage penalty (a couple in which both partners are bringing in a very good income).
Most of the tax rates will be lowered somewhat, so you should see some lowering of your taxes resulting from that, though the more you make, the better the break.
One of the links on the page I cited above is particularly helpful: http://money.cnn.com/2003/05/22/pf/taxes/q_taxbill/index.htm
Are you saying that you don’t understand the US tax code? You must just be lazy. If you had simply taken an 8-year intensive post-graduate course in tax law, you wouldn’t need to ask such silly questions on this board.
[ul]There is no such thing as the
AVERAGE GUY/GIRL! :rolleyes:[/ul]
Good links. Thanks.
I have a headache. I promise to pump the refund/advance right back into the economy.
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Source: http://story.news.yahoo.com/news?tmpl=story&cid=544&ncid=716&e=5&u=/ap/20030528/ap_on_go_pr_wh/bush_taxes
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Frankly, I think that this refund check stuff is a bit misleading. After the last “refund” (advancement), I remember hearing plenty of people bitching and complaining when they did their 1040s and their refund was way smaller than it usually was. (I wasn’t elidgeable for the last advancement, and I’m not gonna get this one, and frankly I’m glad. I like getting that nice big refund check in early April.)
“I like getting that nice big refund check in early April.”
I’ve never understood the logic of giving the gov’t a zero interest loan every year. I guess if that’s the only way you can save money, it might work. Much better to adjust your witholding and sock the extra money away where it’s actually doing some good.
I have a 2 year old and AFAIK we’re not getting anything back this summer. Our income is too low or something.
But that’s okay because in a couple of years when we have real jobs, we’ll benefit then
They’re lowering the 27% bracket to 25%. If you’re single and your AGI is over 67K, that should save you about $800 this year, if my math is right. But it’s reflected in your withholding, not in your rebate.
What about under 67K 
From the cnn.com link above:
damn rich people getting all that money
Question.
Is that a $211 check in the mail, or (bi-weekly) $8.11 more a check?
Considering how much rich people pay, good on them for getting a refund.
Damn, I forgot, they only made it by sucking the blood of the poor. Silly me. Damn those lazy, useless rich people.
So, who is the average guy, exactly?
According to the friendly folks at the Census Bureau, the median household income in 2001 is about $41,000.
What about under $41,000? :rolleyes: