Senator Tim Johnson | Working for South Dakota

Your Stimulus Payment:
What You Need to Know

The following information answers the most
frequently asked questions about the stimulus
payments. More detailed information is available on
the Internal Revenue Service (IRS)
website at www.irs.gov.

As economic stimulus payments begin to arrive,
please click here for any questions you may have.

How Much Will I get?
Most South Dakotans who worked and paid taxes in 2007
will be eligible for the full rebate amount of $600 per person,
$1,200 for married couples filing jointly. In addition, parents
or guardians may be eligible for an additional $300 for each
qualifying child under age 17 that is in their care. High-income
individuals with adjusted gross incomes exceeding $75,000
for individuals ($150,000 for couples) will see their stimulus
payments reduced by 5% of the amount their
income exceeds those thresholds.

Who Will Receive the Payments?
People receiving non-taxable veterans disability,
Social Security, Railroad Retirement, survivors' or similar
benefits are eligible for up to $300 if they had at least $3,000
in qualifying income. These people, along with folks who had
very low incomes that would not normally be required to file a
federal income tax return, will need to file a 2007 return in order
to receive the stimulus payment. Nontaxable combat pay
for soldiers serving in war zones counts toward the threshold
as well, provided the taxpayer elects to include it as
earned income.

Payments will not be made to illegal immigrants.
Everyone receiving a payment must have a valid Social Security
number. For married couples filing jointly, both spouses
must have valid Social Security numbers.

In addition, payments will only be made for children with
valid Social Security numbers. All Social Security
numbers will be verified by the IRS before payments are made.

What Else is in the Bill?
Other provisions of the economic stimulus package
include incentives for small businesses to expand and refinancing
options for families facing foreclosure. This package is
the result of a bipartisan effort. It is proof that when Congress
and the President put partisan politics aside,
the American people are put first.

Tim discusses his Hometown Propserity Plan in Aberdeen

About the Economic Stimulus

On February 7, 2008, Congress approved an economic stimulus package that includes stimulus payments (commonly referred to as 'tax rebate checks') for 130 million American families; the President signed the measure into law the following week.

The federal Treasury Department intends to begin sending rebate checks to American taxpayers in May. Most people will not have to do anything at all to receive their checks; the IRS will use information from their 2007 tax returns to calculate the amount of payment they should receive.

To view the payment schedule, click here.

Caution: Scammers at Work

The Internal Revenue Service (IRS) warns that scammers are already trying to use news of the stimulus payments as a means of identity theft.

Beware of emails and telephone calls you may receive that request your Social Security number, bank account information, or other personal
data.

The IRS does not send unsolicited
emails regarding taxes to anyone, nor does it send emails requesting financial information, charitable contributions, or advising them of refunds. For more information about the scams and how to report them, visit the IRS website www.irs.gov.

Download Tim's informational mailer, Our Bottom Line: Making Sensible Decisions for South Dakota's Future, for more information on the foreclosure problem, Retirement Security and more.