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If I owe the IRS, will I get my stimulus check? Read more...

Submitted by volleyballmom on Tue, 03/11/2008 - 14:05
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Here is something interesting I found in my local paper today. It does say that if you owe the IRS, they will take it and apply to what you owe. However, make note of the section in bold. I do owe the IRS but I am on a formal repayment plan.

Can someone find on irs.gov where it states that you will not get your check if you owe AND on a payment plan with the IRS?




Q: I'm retired and owe about $775 in back taxes. I've filled out my 1040A tax form to get a $300 stimulus check. Now I'm wondering: Will the IRS just take my check and apply it to my unpaid tax bill?

– Earl C., Sacramento

A: Because you owe taxes, you may never even see that stimulus check. If you've got any past-due income taxes, either state or federal, the Internal Revenue Service can take your $300 stimulus check and apply it to what you owe.

That's also true for a number of other delinquent payments, such as student loans, child-support payments and SBA loans.

When it comes to past-due bills, "the IRS ends up being the debt collector for the government," says IRS spokesman Bill Steiner. He said most states share information on delinquent accounts with the IRS.

However, Steiner says, the key word is "delinquent." If you are in a formal repayment plan for a student loan or IRS tax bill, for instance, you'll likely get to keep the stimulus check. If not, the IRS will send you a letter, informing you where your stimulus check was assigned.


Good information!! My EX OWES the IRS. He's set up a payment plan with them and hasn't paid them since last year. Well...I suppose he's not getting a Rebate back!!


Submitted by sdchargers_63 on Tue, 03/11/2008 - 20:10

sdchargers_63

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I did go on the website irs.gov and found out, that if you do owe taxes like I do, I will not get the rebate but it will apply to what I owe, therefore making my balance due lower.


Submitted by kolodin616 on Wed, 03/12/2008 - 09:41

kolodin616

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Sorry volleyballmom I just read the last part in bold duh. So there could be a possibility I can keep the check if in an installment plan.


Submitted by kolodin616 on Wed, 03/12/2008 - 13:59

kolodin616

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Hello,

I just spoke with a representative (1-800-829-1040) and was informed that if you are currently on a payment plan, then the stimulus payment would be applied to your balance due.


Submitted by on Fri, 03/28/2008 - 17:58

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I think that my friend is lying to me because if you just called them Kash what you say is right I think she is lying... :twisted: I don't understand what she is doing with her exemptions she is claiming like 4 and she only has herself...she is really screwing herself royally at the end of the year I have told her to change it to 0 but she doesn't listen :twisted:


Submitted by ladybug on Tue, 04/22/2008 - 09:32

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thanks 4 all the comments posted i really appreciate u guys posting ur info now i know...


Submitted by on Fri, 04/25/2008 - 20:08

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My student loan is in deferment status. Will I get a stimulus check?


Submitted by on Tue, 04/29/2008 - 07:35

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i curenlty owe 800.00 will i get my rebate check...it said i shoulda got it may 9th direct deposit but havent got it.


Submitted by on Wed, 05/14/2008 - 13:41

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Ladybug - I believe you are referring you your friends exemptions claimed on her W-4 and not on her tax return. People get this confused often.

This is how it works - when filing out your W-4 (usually upon hire) you indicate how many exemptions you want to claim, the more you claim, the less taxes are taken out of your check. The problem here is if you do this and do not itemize on your tax return, you run the risk of owing the IRS BIG TIME! And once you owe the IRS, it adds up quickly with interest and underpayment penalties.

The old rule of thumb, for a single person with no dependents, just claim yourself.

How do I know this boring stuff, you ask...I am a tax accountant.

Please pursuade your friend to re-think her W-4. She can file a new one with her employer anytime during the year.


Submitted by desperatelyseekingsanity on Fri, 06/13/2008 - 07:18

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You are right desperatelyseekingsanity...here is it June 13th and she still hasn't changed her W-4, she'll be owing them next year also... :twisted: and I tried to tell her she wouldn't be getting her stimulus check and she said "Oh yes I will" well guess what "she didn't get it" they applied it to her taxes that she owes from last year and still owes $250.00 more... :roll:


Submitted by ladybug on Fri, 06/13/2008 - 10:29

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I OWE $202.00 ON MY TAXES FOR 2007. WILL THEY APPLY MY STIMULUS TO IT AND SEND ME THE REST, OR IS THERE SOMETHING I NEED TO DO LIKE SET UP A PAYMENT PLAN?


Submitted by on Sat, 08/02/2008 - 01:29

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my boyfriend owes 800 to the irs, he never filed his taxes last year will they still take his stimulus check and apply it to the bal he owes to irs even now that is 2009 from last year?????


Submitted by on Fri, 01/02/2009 - 09:36

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So why did they keep my stimulus check? He was on a payment plan that began in 2006, but we weren't married until July 2007. I understand them keeping his.


Submitted by on Wed, 01/07/2009 - 16:21

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I DIDN'T THINK THE IRS COULD KEEP YOUR STIMULUS CHECK IF YOU WERE IN CHAPT.7. THAT HAPPENED TO ME. PLEASE HELP ME


Submitted by on Sat, 01/10/2009 - 11:44

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I dont knew whom to contact at this time my name legally changed all information dont much.I really dont knew how much i owe after all those years.your xxxxx Springfield mo. 65808Personal info removed for your protection..Bossy4455


Submitted by on Tue, 02/10/2009 - 14:08

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