Social Security and tax returns
Editor’s note: In this and articles to follow, Peggy Rogers, field office manager, Creston, answers questions asked about the Social Security program.
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Q: I got Social Security benefits last year and wasn’t planning to file a tax return. But I heard that I may want to file a tax return to get the “stimulus payment” offered by the government. Should I?
A: Yes. If you received Social Security benefits last year, you may be entitled to an economic stimulus payment, or tax rebate, from the federal government — even if you otherwise wouldn’t plan on filing a tax return. The IRS will begin sending stimulus payments to more than 130 million taxpayers in May. If you have filed or plan to file a 2007 tax return, no other action is necessary. If you receive Social Security and did not file a 2006 tax return, the IRS will send you a package over the next couple of months, which includes everything you need to file a 2007 return and receive a stimulus payment. In this situation, if you no longer have your form 1099, you do not need a replacement form. Instead, simply estimate your total annual benefit on your 2007 tax return.
For more information got the toe IRS Web site at www.irs.gov.
Q: My 20-year-old daughter has a severe congenital disability. I worry about what could happen once my wife and I have passed away. Can she get disability benefits without having ever worked?
A: If a parent dies, gets disability benefits or starts receiving retirement benefits, an adult child disabled before age 22 may be eligible for benefits on the parent’s account. Though we make the disability decision using the disability rules for adults, we consider this to be a “child’s” benefit because it is paid on a parent’s Social Security earnings record.
Another safety net for this type situation is the Supplemental Security Income (SSI) program. SSI provides monthly payments to people who have little or no income and who don’t own many things, and who are blind, disabled or 65 years of age or older.
For more information, visit our Web site at www.socialsecurity.gov or call us toll-free at 1-800-772-1213 (TTY 1-800-325-0778.)
