IRS Will Mail Rebate Checks Beginning in July, 2001

Soon millions of American taxpayers will receive an advance 2001 tax refund as a result of the new tax law. In mid-July, the IRS will send taxpayers a letter explaining the amount of their rebate check and when it will be sent. Keep the IRS letter with your 2001 tax records. You will need this information when you file your 2001 return next year.

The IRS plans to mail approximately 11 million checks per week beginning the week of July 23 and ending the last week of September. The Service will process the checks in the order of the last two digits of social security numbers, from lowest (00) to highest (99). If you haven’t filed your 2000 return, you won’t receive a rebate until the IRS processes your return.

Although the rebate is for 2001, it is based on your 2000 return. Taxpayers will receive up to a maximum amount of $300 for singles, $500 for heads of household, and $600 for joint filers. Some taxpayers will receive less than the full rebate amount, and others won’t receive a refund at all. If you don't receive a full rebate check, you may be eligible for up to a 5% tax credit when you file your 2001 return.

If you have moved since you filed your 2000 return, send a change of address (Form 8822) to the IRS as soon as possible to ensure that your letter and your check go to the correct address.

Related Information:
        Ideas and Information About Taxes
        Selecting a Tax Advisor
        Tax Services

© Copyright 2001 Raymond S. Kulzick. All rights reserved. 010703.