WORTHINGTON -- The Internal Revenue Service (IRS) will begin sending more than 130 million economic stimulus payments starting May 2 with the initial round of weekly payments to be completed by early July.
Those who choose to receive their 2007 income tax refunds by direct deposit will receive the stimulus payment the same way. For those who choose to have a paper check sent for their 2007 income tax refund, the stimulus payment will also be sent in the form of a paper check.
For tax returns filed before April 15, a schedule has been released with approximate dates the stimulus payment should be issued. A small percentage of tax returns may require additional time to process and may not be issued in accordance with the schedule.
For those whose returns are processed after April 15, a stimulus payment can be expected about two weeks after the tax refund.
The payments will be sent in the order of the last two digits of the Social Security number used on the tax return. For those who filed jointly, the first number listed will be used.
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In most cases, someone who received their tax refund by direct deposit with the last two digits of the Social Security number between 00 and 20 should have their stimulus payment sent to their bank by May 2.
The IRS has set up a special program on its Web site to allow for free electronic filing for those who normally don't need to file a tax return.
It has also added an online calculator to help taxpayers determine if they are eligible for the stimulus payment and an estimate of how much they can expect.
The Web site with links to the free filing site and the calculator can be found at www.irs.gov .
To be eligible for a stimulus payment, a person needs to file a 2007 income tax return, have a valid Social Security number, at least $3,000 in qualified income and not be a dependent on someone else's return. Eligible people will receive up to $600 -- $1,200 for married couples -- and parents will receive an additional $300 for each eligible child younger than 17.
Two bureaus of the Department of the Treasury are involved in making the payments. The IRS will calculate the amount of each payment based on the 2007 income tax returns, and then forward the information to the Financial Management Service, which is the bureau of the Department of the Treasury that makes federal payments such as Social Security benefits and federal income tax refunds.
Several scams in conjunction with the stimulus payments have been reported. The goal of the scams is to trick people into revealing personal and financial information, which can be used to commit identity theft.
The scams have come in the form of phone calls and e-mails. In one phone call scam, the consumer receives a call from someone identifying themselves as an IRS agent. The caller tells the targeted victim he is eligible for a sizable rebate for filing early, then requests bank account information for the direct deposit of the rebate.
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The e-mail scams are similar. The IRS asks people to remember they do not gather information by telephone, nor do they send unsolicited e-mails about tax matters.
Any contact about the economic stimulus payment will take place via mail.
