How Rebates Would Phase Out
Posted January 24, 2008
The economic stimulus plan agreed to by House leaders and the White House would give rebates of up to $600 for single taxpayers and $1,200 for married couples. But the rebates would gradually phase out for singles with incomes above $75,000 and couples with incomes over $150,000. Five percent of income above those amounts would be deducted from the rebate, according to the House Ways and Means Committee. Here's how taxpayers would be affected:
For single taxpayers:
| Income* | Size of Rebate |
|---|---|
| $75,000 | $600 |
| $80,000 | $350 |
| $85,000 | $100 |
| $87,000 | 0 |
*2007 adjusted gross income
For married-couple taxpayers:
| Income* | Size of Rebate |
|---|---|
| $150,000 | $1,200 |
| $160,000 | $700 |
| $170,000 | $200 |
| $174,000 | 0 |
*2007 adjusted gross income
For a married couple
with two children:
| Income* | Size of Rebate |
|---|---|
| $150,000 | $1,800 |
| $160,000 | $1,300 |
| $170,000 | $800 |
| $180,000 | $300 |
| $186,000 | 0 |
*2007 adjusted gross income
Those who earn $3,000 or more but pay no federal income taxes would receive rebates of $300 for singles and $600 for married couples.
Updated on 1/25/08
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