No. of Recommendations: 5
Does this mean if you got a refund; meaning you didn't pay at tax time that you won't get the rebate?

ICK!! Nononononononono!

Getting a refund doesn't mean you didn't pay taxes; it means you overpaid your taxes.

If you have $8500 withheld, but only owe $7900, you get a $600 refund. You've still paid $7900 in taxes.

This misconception that refund=didn't pay is one of the reasons it's difficult to gain support for a tax cut. On the other hand, if withholding ended tomorrow, and everyone had to send the IRS a $200 check every month, tax cuts would suddenly be a >very< important issue next election...
Print the post  


UGC Disclosure Notice Regarding Credit Card Posts
Community board discussions about credit cards are not provided or commissioned by banks who may have advertising relationships with The Motley Fool. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.
TMF Credit Center
The Motley Fool Credit Center arms you with real tools and simple messages, that will help you in every credit situation.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.