Amended return (Refund +? rebate)

[Black Bart]

I'm doin' an '07 1040X for a refund of some withholding. He wasn't eligible for the rebate before, but will be now.

For some reason I keep thinkin' he can't get the rebate part now since it's after that Oct.15th rebate cutoff deadline. I know they forgive previous overpayments (and I 'preciate it), but does that let's-forget-the-whole-thing generosity extend to never-got-paid-at-all cases? Is rebate money treated the same way as "regular" money on amended returns?

P.S. I know what you're thinkin' but I haven't got Sioux City Peggy Sue's nerve (she called one of her posts a "dumb question") and I ask your indulgence (if not your sympathy).

Thanx, BB

[erchess]

I think

that because of the Oct 15 cutoff your client cannot get a rebate. However if he's eligible he can get the money on his 08 return and as far as I know if not he's out of luck. If I really wanted to press things for this guy the only thing I would now to try would be to contact Nina Olsen's people.

[JohnH]

Bart:
Not a chance they will get the rebate on a 2007 return - original or amended.
That train left the station on Dec 31, 2008.
They will have to claim the credit on the 2008 return.

As a matter of fact, had they been eligible based on the 2007 info and failed to file on time, and then became ineligible in 2008 due to income limitations, they don't get it at all. I just worked on one like this a couple of weeks back - he never got around to filing his 2007 until Feb 2008. I told him instead of whining about missing the rebate he should be thankful his income was as high as it was in 2008 when so many people were getting pink slips.

[taxea]

The only change/s you should make on the amended return are the ones that were in error. His rebate will be dealt with on the 08 return if he qualifies. taxea

[Black Bart]

Thanx folx

Bart:
Not a chance they will get the rebate on a 2007 return - original or amended. That train left the station on Dec 31, 2008. They will have to claim the credit on the 2008 return. As a matter of fact, had they been eligible based on the 2007 info and failed to file on time, and then became ineligible in 2008 due to income limitations, they don't get it at all. I just worked on one like this a couple of weeks back - he never got around to filing his 2007 until Feb 2008. I told him instead of whining about missing the rebate he should be thankful his income was as high as it was in 2008 when so many people were getting pink slips.

(I'm practicin' that Boyz in the Hood spellin'-style to get trendy). But back to the main thing -- John, this part (below) of your post is essentially the spot we're in:

"...had they been eligible based on the 2007 info and failed to file on time, and then became ineligible in 2008...they don't get it at all..."

Client did file '07 on time, but original preparer used zero exemptions (assumed dad was takin' it) although client supported himself and was nobody's dependent. Unfortunately, OP wouldn't 1040X it, deadline expired, client lost job, and for '08 he is dad's dependent.

So...I think now I get what y'all are saying -- once last year's deadline had passed, 2008 status (the true base of the whole thing) rules. And while prior overpayments are forgiven, you can't go back now and use a better-paying '07 status.

P.S. Has anybody noticed how fast posts become obsolete? Just a day or two and you're ON page two.

[Bill Tubbs]

1040X to claim exemption

Client did file '07 on time, but original preparer used zero exemptions (assumed dad was takin' it) although client supported himself and was nobody's dependent. Unfortunately, OP wouldn't 1040X it, deadline expired, client lost job, and for '08 he is dad's dependent.

So...I think now I get what y'all are saying -- once last year's deadline had passed, 2008 status (the true base of the whole thing) rules. And while prior overpayments are forgiven, you can't go back now and use a better-paying '07 status.

I had a case where t/p originally did a 2007 1040 not claiming himself (Feb 2008). Before 4/15/08 I had filed a 1040X to claim himself. He never got a stimulus rebate, even though he should have received one since he had wages > $3000 (he may have also had tax over $300 -- I don't have the return in front of me). Apparently the generating of the stimulus checks did not catch that we sent in the 1040X at all... He did, however, qualify for the $600 max when I filed his 2008 return.

Bill