After noodling about on the Net I found this,
http://www.bargaineering.com/articles/2008-tax-rebate-stimulus-package-explained.html , it does suggest the bulk of rebates will go to people that paid little or no tax in 2007. As the 2007 taxes have not yet been filed yet, or paid , it leaves a bit of wiggle room on interpretation. Is there a fuller description I should look for?
In response to Vlads original Post. Yes, this bothers me considerably. While I stand to make a short-term profit from it, it does look like a wealth redistribution scheme. Money for the poor is taken from the rich. I wont argue the definition of poor/ rich, its a slippery notion in our society, but giving a rebate to every potential taxpayer whether or not they paid taxes is ridicules.
Heres what really frosts my cookies. Anyone who thinks this wont happen is delusional. Its pure vote buying. Every congress-critter, on both sides of the aisle, is going to knock the next guy down to be the first one to vote FOR it and be seen as doing something for the unwashed masses in society. The website gives a few specific examples and asks for comments, there are quite a few so I wont quote the entire article.
Da Bianhua
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>quote<
2008 Tax Rebate Stimulus Package Explained.
No doubt youve heard the great news that a deal on a stimulus package has been reached and that (if the Senate drafts a similarly worded bill [a big if!], the two are married, and the President signs it) checks will be in the mail as early as May or June. Whether you believe the naysayers that say were really just propping up the Chinese economy (or oil rich nations) because were borrowing from them to buy their goods or whether you believe the proponents that say this will boost own economy in magical ways the fact of the matter is a deal has been reached - so what is it? Essentially, its a removal of the 10% tax bracket for everyone with some modifications. It includes phaseouts that begin past annual incomes of $75,000 and a component that includes those working Americans that dont earn enough to pay income taxes.
To get a clearer understanding of the rules, lets walk up the income levels and explain how it works; beginning first with those filing their taxes as singles and then adding in families. How the phaseouts work, from what I can understand, is that you first determine eligibility (if you earned more than $3,000 and paid taxes) and then, if you fall in to the phaseout, start reducing your benefit.
Singles
Determine Eligibility:
If you earned less than $3,000 - unfortunately youd get nothing.
If you earned more than $3,000 but paid no taxes, youd get $300.
If you earned more than $3,000 and paid taxes, you get $600.
If you have children, add $300 per.
Determine Phaseout Reduction:
The phaseout levels begin at $75k and end at $87k, at a reduction of 5% per $1,000 over the lower limit. If you earn above $87k, youre over and thus get nothing regardless of the math.
Couples
Determine Eligibility (appears to be the same as singles):
If you earned less than $3,000 - unfortunately youd get nothing.
If you earned more than $3,000 but paid no taxes, youd get $600.
If you earned more than $3,000 and paid taxes, you get $1,200.
If you have children, add $300 per.
Determine Phaseout Reduction:
The phaseout levels begin at $150k and end at $174, at a reduction of 5% per $1,000 over the lower limit. If you earned above $174k, youre over and thus get nothing regardless of the math.
>End-quote<
