[lgxb]

I have emailed IRS, see below for my question and their answer:

Your Question Was:
Dear Sir Madam: In this IRS webpage: http: Internal Revenue Service newsroom article 0, id=181995,00.html I found the following Q&A(the 4th one): Q. If I have a spouse with an ITIN and choose married filing separately status to qualify for the economic stimulus payment and later on amend my original return to married filing jointly status, will I need to return the stimulus payment? A. No. I don t quite understand this one. I found on internet someone explained like the following: It is a 2 step process (filing the 1040 as separate and then amending it using the 1040X where you change filing status to joint). When you file the 1040X you do NOT leave line 15 column A blank but fill in the $600 that you have gotten but if your refund amount is anything less than $600 (RRC ) you do not enter that amount on line 19. So this amount (line 19) does not get subtracted from your refund. If you have gotten a refund more than $600 on the 1040 then you enter the amount over the $600 on line 19 (X-600). All this is , is some math to serve the purpose. Now one of the greatest point of the 1040X that each change you make has to be noted with line numbers on the form itself. So that is where you get to explain why and what changes you have made. Go all out , put in the details in the explanation. So it is clear what your intent is and the IRS has a chance to review it and respond. So my question is: Is this above explanation true and legal? Is it what the IRS Q&A I quoted above means? Thanks for your help! Haobin


The Answer To Your Question Is:
Thank you for your inquiry. If your only question is whether the Economic Stimulus Payment received has to be paid back and entered on line 15 of IRS Form 1040X “Amended U.S. Individual Tax Return”, the answer would be as follows. If I have misunderstood your question, or if you have additional questions, please respond back.

The Q & A you refer to in your question is correct. The Economic Stimulus Payment does not have to be repaid.

Form 1040X (Revised February 2009) line 15 “Credits: Recovery rebate; federal telephone excise tax; or from Forms 2439, 4136, 5405, 8885, or 8801 (refundable credit only)” is for claiming one or more of these credits that was not claimed on the original return. The Economic Stimulus Payment that was received is not entered on line 15.

Line 19 “Overpayment, if any, as shown on original return or as previously adjusted by the IRS” will include the Economic Stimulus Payment. Then line 20 says “Subtract line 19 from line 18” to determine whether there is a balance due or a refund.

For additional information refer to the aforementioned form and instructions, research our website at Internal Revenue Service or consult a tax professional.

[taxgeek]

Thanks for posting this, much appreciated!

[helpseeker66]

I did not know you could correspond with the IRS on tax matters via email. Telephone was the only listed mode of contact .
Telephone Assistance for Individuals:
Toll-Free, 1-800-829-1040
Hours of Operation: Monday – Friday, 7:00 a.m. – 10:00 p.m. your local time (Alaska & Hawaii follow Pacific Time).

What is the email address that you used ? I would think if email is a method of contact it would be on this page
How to Contact the IRS

[EvilTaxes]

Hey Guys,

Have you guys figured out what to do on the state - assuming you guys are going the '1040-saperate and then 1040X-Joint' route?
Wife already has the ITIN. Can we use that on the state or does the filing status on both federal and state need to match?

Thanks!

[EvilTaxes]

More Questions...

Is RRC based on 2007 Gross or 2008 Gross? I am trying to claim RRC now; my 2007 Gross was less than $75,000. My understanding is that I should get all $600. However, my tax software says, I get only $190. Now, my 2008 Gross is more than $75,000 - would that make a difference?

Also, by following the '1040-Separate and then 1040X-Joint' process, I end up owing a lot on both federal and state (even with a full $600 RRC, I owe!), which I have to pay before filing the 1040X and get anything back

If indeed I am eligible for only $190 RRC, I am thinking I should just do the 1040-Joint and be done with it. Anyone in similar situation?

Thanks!

[punchabuggy]

That too and the question right below it goes a step further

Q. If I have a spouse with an ITIN and choose "married filing separately" status to qualify for the economic stimulus payment and later on amend my original return to "married filing jointly" status, will I need to return the stimulus payment?

A. No.

I believe that is conclusive.

This is about Economic Stimulus Payment, Can you find similar Q&A about Recovery Rebate Credit?

[AtlantaTaxExpert]

I have crunch the numbers several times, and have actually filed the return and amendment for three clients. Each time, they came out ahead $600 (minus the tax preparation fees, of course).

Double-check your math.