| the way I understand it, you won't technically be taxed on the rebate money. It is simply an anticipation loan for next years return. They are reconfiguring the tax brackets for 2008 so that your first $6000 worth of income is tax free. They tried to do this in 2001, however, the reconfiguration was never approved, so come tax time the following year, everyone who received a rebate got screwed. Hopefully, that doesn't happen again, or people who would be expecting a return may end up having to pay in a lot more. |