Bush Stimulus Payment Plans to Be Thwarted for Millions by IRS

Stimulus Checks Due for Delivery This Month for Many - Will Never Arrive as Cash Payments

Any taxpayer having a dispute with the IRS will most likely find their stimulus check held up or paid in an unexpected manner. Taxpayers, who have already received letters advising them of past taxes due, will have the value of their stimulus checks credited against the payments the IRS says is owed.

Although the stimulus package is designed to stimulate the economy the IRS has coordinated with the Treasury department to attach and seize payments that should have been sent to millions of taxpayers. On checking with the IRS it was learned that even taxpayers who have not agreed with the IRS on the amount of back taxes, interest and penalties owed may find they receive no stimulus checks.

Complaints to the IRS about this unilateral policy have met with a reaction akin to running into a stonewall. No justification has been given for the policy except to say that repayments to the US Government take priority. The IRS states the individuals to whom this apply are receiving their stimulus payments but not in the form of cash. The IRS considers the payments as credits against past amounts due as legal and legitimate.

Taxpayers who find themselves in this situation should immediately contact their congressional representatives in both the House and Senate. Those that we have checked with have been shocked to hear what the IRS is doing and stated that this is against the intent of the stimulus package.

A review of the IRS website at this URL http://www.irs.gov/newsroom/article/0,,id=179181,00.html revealed no information on this policy of sidetracking payments that were supposed to be made in cash to all eligible taxpayers.