What is the purpose of these 2001 Advance Payments? The law is intended to give taxpayers the benefit of a new 10% tax bracket had it been in place for 2001.
When will I get my advance payment check? Because of the millions of taxpayers involved, it will take about 10 weeks for Treasury’s Financial Management Services to finish mailing checks to those taxpayers who have already filed their 2000 tax returns. Financial Management Services will mail several million checks each week beginning in late July. Checks will be distributed according to the last two digits of the Taxpayer Identification Number (generally, the Social Security number) with the last checks for returns filed this April to be mailed the week of September 24. See the attached distribution schedule. Is this payment taxable income? This amount will not be included in income on your Federal tax return. Requirements for your state return may be different. If I owe back taxes, will I still get the advance payment? The amount of your advance payment will be applied first to any Federal income tax you owe.
