So Stimulating, I Forgot How Much…

Q.  I’m doing my own taxes this year.  I can’t seem to remember how much my stimulus payment was back in 2008.  How do I find this amount?

A. This is the most common question asked to me this year.  Apparently, the government stimulus payment received by taxpayers last year was not very stimulating.  No one can rememer how much they received.  Thankfully, the IRS has an online tool available that lets you determine how much you received.  You can find it here. You will need to know the social security number of the primary filer of your tax returns, the marital status on your 2007 tax return and the number of exemptions claimed on your tax return.  Once you enter all of this information, you can se how much you received.

Everyone received a mailer from the IRS explaining the amount earlier in 2008.  Hopefully you kept that document.  It will be useful when preparing your return. If you utilize the services of a professional tax preparer, you will also need to give it to him/her to properly complete your return.  Remember, the stimulus payment is not taxable income so it does not need to be claimed somewhere on your return.   The purpose of identifying the amount you received is to determine if you are owed an extra cash.

On a side note, remember all the advantages of filing with a professional preparer. Professionals…

• utilize state of the art software to handle all new tax laws and track changes to your situation year over year
• are studied up and trained in changes and can make recommendations based on your situation
• can answer questions throughout the year if an unexpected financial situation occurs
• can answer what-if questions to help you make the right decisions without running fake tax returns
• are more flexible and can make judgment calls based on their experiences.  Software can’t do this!
• have time and experience to handle complex returns that simply are too confusing for the common taxpayer

So…if you want to take the risk and hassle out of tax preparation, contact your local professional.  And…if you already use a preparer and are happy with them, tell your friends!!