I know the stimulus package is determined from the 2007 returns, but from reading below it is technically a 2008 tax cut. Is my interpretation correct? Will the IRS automatically determine if they owe you a balance after filing 2008 taxes in May of '09 and send an additional check then?http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/02/12/BUOAV0BJP.DTLThe rebates represent a 2008 tax cut. But instead of getting the tax cut next year, when you file your 2008 return, you'll get it this year.The IRS, however, will use your 2007 tax return to determine who gets a rebate and how much.If it turns out that you would have gotten a bigger tax rebate based on your 2008 tax return, the IRS will refund you the difference. For example, a middle-income family that has a baby born in 2008 should be able to reap an extra $300 when they file their tax return next year, Luscombe says.On the other hand, if you would have gotten a smaller rebate based on your 2008 return, you won't have to pay back the difference, says Bob Scharin, RIA Senior Tax Analyst from Thomson Tax & Accounting.
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