On Wednesday the IRS made some announcements regarding the Economic Stimulus Payments and the Recovery Rebate Credit (RRC). There will also be an IRS news release forthcoming in this regard
The Recovery Rebate Credit is for people who did not receive an Economic Stimulus Payment in 2008, or for taxpayers who did not receive the full Economic Stimulus Payment in 2008.
It is very important that when you file your tax return, you enter the correct amount of stimulus payment you received in 2008. If you do not enter the correct amount and the tax software calculates an amount that reflects the incorrect amount you entered, your refund may be delayed for no more than one week. The delay is because the IRS must manually review your return and correct your entry. If the IRS has to do this they will send you a notice in the mail informing you of the change.
* If you know you received the full amount in 2008, you can leave that field blank and the system will not calculate any Recovery Rebate Credit.
* If you did not receive your stimulus payment or if you had a child in 2008 and your income is in the range to be eligible for a the Economic Stimulus Payment, it is important that you make an entry and complete that item on that page.
IF YOU ALREADY FILED YOUR RETURN
If you already filed your return, you need to do nothing. If the Recovery Rebate Credit calculated does not match the IRS information, the IRS will correct your return.
IF YOU DID NOT FILE YOUR RETURN
Please be sure to enter the correct amount of stimulus you received in 2008. If you are not sure, the IRS has a tool at www.IRS.gov where you can retrieve this amount. You may also call the IRS at 1 800 829 1040 and follow the prompts to find the amount of the Economic Stimulus Payment you received in 2008.
