Returning $$$ back for stimulus checks

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Makes sense. If I recall correctly- we didn't even get a whole amount because we didn't have enough tax liability. Same thing happened with the Bush tax rebates. I got a letter saying I didn't make enough/pay enough taxes to qualify. Thank god for the EITC!
 
Straight from the IRS found here: http://www.irs.gov/newsroom/article/0,,id=204447,00.html

Check
Your Withholding

How will the Making Work Pay tax credit affect you?

Most wage earners will benefit immediately — or already have — with a larger paycheck as a result of the changes made to the federal income tax withholding tables to implement the Making Work Pay tax credit. Some people may find that the changes built into the withholding tables result in less tax being withheld than they prefer.

If you're not eligible for the Making Work Pay tax credit, withholding changes could mean a smaller refund next spring. A limited number of people, including those who usually receive very small refunds, could in some situations owe a small amount rather than receiving a refund. Those who should pay particular attention to their withholding include:

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Pensioners (see more information under Pensioners, below)
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Married couples with two incomes
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Individuals with multiple jobs
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Dependents
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Some Social Security recipients who work
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Workers without valid Social Security numbers

The Making Work Pay tax credit, normally a maximum of $400 for working individuals and $800 for working married couples, is reduced by the amount of any Economic Recovery Payment ($250 per eligible recipient of Social Security, Supplemental Security Income, Railroad Retirement or Veteran's benefits) or Special Credit for Certain Government Retirees ($250 per eligible federal or state retiree) that you receive. If you are affected by this reduction, you should review your withholding to ensure that sufficient funds have been withheld to meet your tax obligation.

If you believe your current withholding is not appropriate for your personal situation, you can perform a quick check using the IRS withholding calculator. If you are not familiar with the withholding calculator, watch this IRS how-to video for instructions. When you have determined your correct withholding, make any adjustments by filing a revised Form W-4, Employee's Withholding Allowance Certificate, with your employer.

Pensioners

Pensioners do not qualify for the Making Work Pay credit, unless they receive earned income. However, because the February withholding tables also apply to pensioners, the IRS has provided pension plans with an optional adjustment procedure. If you are a pensioner with questions about your withholding, contact your pension plan administrator.

If desired, pensioners can adjust their withholding by filing Form W-4P, Withholding Certificate for Pension or Annuity Payments.

Self-Employed

Self-employed individuals can also benefit now from the Making Work Pay tax credit by evaluating their expected income tax liability, allowing for this tax credit if they are eligible, and making the appropriate adjustment in the amount of their regularly scheduled estimated tax payments.
 
Wow, Ewesheep. Thank you for posting this. It looks like it may hit quite a few people unawares! But so everyone is aware it wasn't a stimulus check, it's the extra money received in paychecks due to lower withholdings. If this effects someone it looks like they can have the irs withhold more now so they aren't hit at tax time.
 
Then why did we call it stimulus checks when they really are not?
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My husband had two jobs, part timers and I am the one on SSD so it may affect us. Lets hope they give us a little spending money to pay off one loan!
 
the Tax lady told me this last year when we were doing the tax thing. She said, no one is paying attention and we will most likely be paying back the little extra we enjoy in our check. I am one of those married, 3 incomes, I work 2 jobs. I have sooooo much takedn out, because I am afraid I'll still end up owing. It wasn't something for nothing
 
UGH!

What was President Obama thinks of it? Did he have the right sources of information how it would affect us as taxpayers?
 
We told our employees about this when we learned about it. The all chose to keep their withholding at the regular rate instead of the "tax credit" rate.
There are going to be a lot of very surprised/upset people at the first of the year...
 
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Have you husband have his employer set it up to withhold more from his checks so he doesn't get hit at tax time.

Probably NOT! We didnt know about anything of this. We were told that we didn't have to pay it back because it was tax free money.
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