How the rebate works

[Ron Burgundy]

AP - How Americans in different financial situations would fare under the rebate plan proposed by House leaders and the White House.

_An individual with $2,500 in earned income in 2007: Disqualified because income fell below the $3,000 threshold. No rebate.

_A married couple with no children, with adjusted gross income of $100,000 in 2007: Would qualify for the full $1,200 couples. A $1,200 rebate.

_A worker with one child, who earned $9,000 and owed no taxes in 2007: Would qualify for the $300 rebate available to individuals who pay no taxes but earned at least $3,000, plus an additional $300 for the child. A $600 rebate.

_A couple with income of $145,000 in 2007, with three children: Would qualify for the full $1,200 for couples, plus $300 for each child. A $2,100 rebate.

_A couple with income of $160,000 in 2007 with two children: Would qualify for a partial rebate, reduced by $50 for every $1,000 in income above the $150,000 threshold. An $1,800 rebate — $1,200 for the couple plus $300 per child — would go down by $500 for this family. A $1,300 rebate.

_A couple with income of $200,000 and four children: Disqualified because their income exceeded $174,000, the phase-out limit. No rebate.

_An individual with adjusted gross income of $23,000 and no dependents would get a rebate of $600.

_A couple with adjusted gross income of $184,000 and two children would get a $100 rebate.

(This version CORRECTS the formula to a $50 reduction for every $1,000 in income above the threshold, the reduction to $500 instead of 50 percent, and the rebate amount to $1,300 insteadsted $900.)

source: http://news.yahoo.com/s/ap/20080125/ap_on_go_co/economy_stimulus_examples [link]