The Economic Stimulus Act of 2008 provides rebate payments to eligible individual taxpayers as well as tax reductions for businesses. For individuals, the amount of the rebate is determined by information reported on tax filings for 2007 and is based on filing status, level of adjusted gross income, and the number of qualifying children. The majority of rebates were sent during the initial round of payments, which began April 28, 2008, and continued on a weekly basis through mid-July 2008.
In the NIPAs, rebates for residents of the 50 states and the District of Columbia are recorded as social benefit payments to persons. The social benefit payments include the total amount of the rebates, both the amount that was paid to persons and the amount by which the rebates reduced taxpayers’ personal tax liabilities.
For information on the impact of the Economic Stimulus Act of 2008 on businesses, see the FAQ: How does the 2008 Economic Stimulus Act impact Corporate Profits?
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