The Tax cut... why should it work now

[Peaches]

Originally posted by sarettah@Jun 8 2003, 07:36 PM
Just for the record in the 2001 tax cut/rebate folks who paid nothing in also were included in the ones who got checks...

That part is nothing new.

Are you sure? In reading this (and I could be ohsovery wrong ) , it sure doesn't look like people that had no taxable income were eligible:

The Economic Growth and Tax Relief Reconciliation Act of 2001 (H.R. 1836), passed by Congress in May 2001, includes changes in individual income tax rates. Under the legislation, a new 10% rate bracket is established that is retroactive to January 1, 2001. Technically, the benefit of the reduced rate for 2001 is delivered in the form of a tax credit equal to 5% of the taxpayer's 2001 taxable income, up to the top of the new 10% tax bracket range for taxable income. The range applies from the first dollar of taxable income to $6,000 for single individuals, $10,000 for heads-of-households, and $12,000 for married couples who file joint income tax returns. This means that those taxpayers who have taxable income equal to or exceeding the 10% bracket will receive a maximum credit of $300 in the case of single individuals, $500 for heads-of-households, and $600 for married taxpayers filing jointly. The legislation directs the Treasury Department to mail taxpayers rebate checks in anticipation of the 2001 tax reduction delivered by the credit. The checks will be calculated by the Treasury Department based on taxable income reported on tax returns for the 2000 tax year. When taxpayers file their 2001 tax returns, they will reconcile the credit to which they are entitled with the rebate check they received from the Treasury. Any difference between the rebate and the allowable credit will be provided in the form of a tax credit to offset the taxpayer's tax liability for 2001.