Salem – President Bush has signed the Economic Stimulus Act of 2008. The economic stimulus package includes a cash rebate to recipients of certain veteran benefits.
 
Some disabled veterans and spouses who receive at least $3,000 from any combination of Social Security and certain veterans’ benefits will receive rebates. Filing a 2007 tax return will be required to process the rebate for the 2008 tax year. Veterans with children will receive an additional amount of $300 per child.
 
In most cases, single veterans will receive up to $600 and $1,200 for married veterans. Overall, the package will put $168 billion into the pockets of 128 million American households.
 
Reflecting on the impact of the veteran community, Director Jim Willis of the Oregon Department of Veterans’ Affairs (ODVA) said, “Once again, veterans are reminded that their honorable service to our state and nation is not forgotten. Disabled veterans and families should know that economic relief is on the way.”
 
Special provisions of the package allow certain veterans’ benefits to count towards the qualifying income requirement of $3,000 and thereby helping veterans qualify for the stimulus payment. Before signing the stimulus package, President Bush praised the collective wisdom of the American people and said, “Helping our economy requires us to take action, it is equally important that we not overreact.”
 
Additional provisions of the package secured help for struggling homeowners. In Oregon, interest rates for the ODVA ORVET Home Loan program are nearing 30-year lows. Eligible veterans can qualify for a 30-year mortgage financed at 4.99 percent loan rate with a 1 percent origination fee, or 4.875 percent with a 1.5 percent loan origination fee.
 
President Bush is urging Congress to pass housing legislation to modernize the Federal Housing Administration (FHA). The modernization includes proposed legislation to permit State housing agencies to help troubled borrowers by issuing tax-exempt bonds for refinancing existing home loans.
 
The Internal Revenue Service (IRS) and Treasury plan to work closely with the U.S. Department of Veterans Affairs (VA) to help ensure veterans know what to do to receive the stimulus payment. Veterans should call the IRS at 1-800-829-1040 with questions for help in preparing tax returns or any notices you may receive. Rebate questions can also be answered through the IRS website, www.irs.gov.
 

###

 

Information and Resources

 

President Bush Signs H.R. 5140, the Economic Stimulus Act of 2008
http://www.whitehouse.gov/news/releases/2008/02/20080213-3.html

 

Fact Sheet: Bipartisan Growth Package Will Help Protect Our Nation's Economic Health

http://www.whitehouse.gov/news/releases/2008/02/20080213-5.html

 

Economic Stimulus Payments Information Center

http://www.irs.gov/newsroom/article/0,,id=177937,00.html

 

Free File - Economic Stimulus Payment

http://www.irs.gov/efile/lists/0,,id=179739,00.html

 

U.S. Individual Income Tax Return 1040A for Stimulus Payments

http://www.irs.gov/pub/newsroom/1040a.pdf

 

Extension of Deadlines - Combat Zone Service
http://www.irs.gov/newsroom/article/0,,id=101265,00.html

 

Employers with Employees in a Combat Zone
http://www.irs.gov/newsroom/article/0,,id=129833,00.html

 

Questions & Answers on Combat Zone Tax Provisions
http://www.irs.gov/newsroom/article/0,,id=107467,00.html

 

Combat Pay Can Count toward Economic Stimulus Payment Eligibility

http://www.irs.gov/newsroom/article/0,,id=180334,00.html

 

Tax Information for Members of the U.S. Armed Forces
http://www.irs.gov/newsroom/article/0,,id=97273,00.html

 

Instructions for Recipients of Certain Veterans’ Benefits
http://www.irs.gov/irs/article/0,,id=179096,00.html

 

Economic Stimulus Package Will Benefit Some Veterans
Peake: Special Provision for Low-Income Veterans
http://www1.va.gov/opa/pressrel/docs/Economic-stimulus.doc