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| The check is in the mail... |
June 12, 2001 |
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On July 1st, New Mexicans saw their income tax rates reduced.
The last time that happened was in 1981 -- 20 years ago.
A generation has gone by.
The last time income tax rates were reduced for all Americans, Kim Carnes’ Bette Davis Eyes was the song of the year, Dallas was the #1 TV show in America. And the talk around the water cooler was, “Who shot JR?”
Chariot`s of Fire was named the Best Picture and the Rubik’s Cube puzzle was sweeping the nation. That was too long ago.
It’s time for a new generation to experience long-term across the board tax relief.
The U.S. Treasury Department estimates that 507,000 New Mexicans will get a tax refund this Summer, totaling $212 million.
WANT TO KNOW WHEN YOU GET YOUR CHECK?
| | Enter the last two digits of your Social Security number and press "Go". | | | Privacy note - This form does not collect or store any personal information. The information you provide is only used to calculate when you will receive your check. |
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Congresswoman Heather Wilson voted last month for historic tax relief that will let you keep more of your money. And, you may be eligible for a tax refund payment this Summer. The U.S. Treasury Department will soon send out checks.
WHAT WILL THIS MEAN FOR NEW MEXICO?
Simply put, this means money back in the pockets of every person and family who pays taxes.
The Treasury Department will send out about 98 million checks in August and September, providing $38 billion in immediate tax relief.
The bill will make the 10 percent retroactive to 2001, providing single taxpayers with a refund of up to $300, single parent taxpayers with a refund of up to $500, and married couples with a refund of up to $600.
New Mexicans will get tax relief totaling $3.6 billion dollars from rate reductions and estate tax relief from 2001 to 2011
New Mexicans will get tax relief totaling $.8 billion dollars from the child credit from 2001 to 2011
New Mexicans will get tax relief totaling $.4 billion dollars from the marriage penalty repeal from 2001 to 2011
507,000 New Mexicans will receive a check in 2001 based on the return filed for 2000, totaling $212 million in tax relief
WILL YOU GET SOME CASH?
Single taxpayers will receive a $300 refund check, heads of households will receive $500 and married couples will get $600 of their money back.
A Heritage Foundation study dated May 11, 2001 found that more than 200,000 New Mexico children and their families, about 66,000 of them in Heather`s district, will benefit from an increase in the child tax credit. More than 140,000 married couples will be freed from the so-called marriage penalty that costs couples an average of $1,400 a year. Close to 52,000 of those couples live in New Mexico’s first congressional district.
The first checks will be sent out the week of July 23rd, with most payments completed by the last week of September.
HOW MUCH MONEY WILL I GET?
| IF your filing status on your 2000 return is… | AND the taxable income on your 2000 return is*… | THEN your advance refund will be as shown below, UNLESS the tax liability on your 2000 return is less than the amount on the table**… | | Single or Married filing Separately | less than $6,000_____________
$6,000 or more | 5% (.05) of your taxable income
______________
$300 | | Head of household | less than $10,000 ______________
$10,000 or more | 5% (.05) of your taxable income
______________
$500 | | Married filing jointly or Qualifying widow(er) | less than $12,000 ______________
$12,000 or more | 5% (.05) of your taxable income
______________
$600 |
* Taxable income is the amount shown on the 2000 Form 1040, line 39; Form 1040A, line 25; Form 1040EZ, line 6; or on the TeleFile Tax Record, line K. ** If you filed Form 1040 or Form 1040A, your advance credit payment is limited to your tax liability which is the amount shown on your 2000 Form 1040, line 51, or Form 1040A, line 33. ***The amount of your advance refund may be reduced by past due debts you owe for federal or state taxes or other federal debts.
HOW IT`S GOING TO WORK
The U.S. Treasury will begin to send out the rebate checks July 20 and will conclude this process on Sept. 28.
The Internal Revenue Service (IRS) will mail all taxpayers a letter in mid-July to let them know the amount of their check and when they will receive it.
The Treasury is only able to send out 11 million checks a week, so the checks will be mailed gradually according to the last two digits of your social security number (SSN).
Taxpayers with Social Security numbers ending in “00” can expect to have their checks mailed on July 20, while those with numbers ending in “99” will have their rebate checks mailed Sept. 28. Check here to determine when you`ll get your check.
For joint returns, the first SSN listed on the return will be used to determine when your check is mailed.
The IRS is required to base the amount of the refund check on 2000 tax returns, so taxpayers who file late or pursuant to an extension will receive their checks as soon as they file last year’s federal tax return.
However, the IRS is not permitted to issue any checks after December 31, 2001, so taxpayers who file their 2000 returns after December may claim their rebate as a credit on their 2001 tax returns. |
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