There are multiple proposals in front of Congress this year to reform the GI Bill.  Many have merit, and I am encouraged that we are looking seriously at what we can do to modify the current GI Bill.  The GI Bill was originally authorized in 1944 to assist returning veterans of World War II with educational and home ownership benefits.  The bill has been updated throughout the years, and the last comprehensive overhaul of the bill benefiting active duty service members and veterans was in 1984 (although the actual benefits and dollar amounts have been subsequently updated).  In 2004, a new component of the GI Bill was added – the Reserve Educational Assistance Program – which provides benefits specifically to reserve troops, which helped to recognize the significant contributions of reservists during the current conflicts in Afghanistan and Iraq.

The proposals we are considering now would expand the educational benefits veterans would be entitled to, making it more affordable to pay for the increasing cost of many colleges.  Additionally, many of the proposals would extend the time period that veterans could use their educational benefits, and other proposals would allow the educational benefits to be “portable” – meaning that dependents could be eligible to use any unused educational benefits that a service member wasn’t going to use or did not need.  One bipartisan proposal that I support (and cosponsor) is the Veterans Education Improvement Act of 2008, H.R. 5684, sponsored by Rep. Stephanie Herseth Sandlin (D-SD).  The bill was considered by the House Veterans’ Affairs Committee, which approved the bill at the end of April.  Now, the bill needs to be considered by the House Education and Labor Committee, which has joint jurisdiction over the bill.  This proposal is a good beginning, and I’m hopeful that the House Education and Labor Committee will make some good additions to the bill and then send it to the House floor so we can debate the proposal.

One of the things I have the opportunity to do here in Washington, DC is meet with groups and residents of the 23rd District of New York when they come to DC to discuss different issues that they are facing in New York.  I always welcome the opportunity to hear directly from constituents in the 23rd District about successes or challenges in Northern and Central New York, as well as ideas on how I or Congress as a whole can assist them. 

One group I met with last week was the United Helpers, which is the largest healthcare provider in St. Lawrence County and employs over 900 people.  I appreciated the update on their activities and hearing more about the status of healthcare in Northern New York, which is a key concern of mine and I know a great concern to many local residents.  United Helpers does great work bringing healthcare assistance to seniors and adults with disabilities across the North Country – helping more than 1000 people each day through services such as residences, homecare, or meal delivery. The picture from the meeting is above. 

• The IRS will use the 2007 tax return to determine eligibility and the basic amount of the payment. Generally, the payment will equal the amount of tax liability on the return, up to $600 for individuals and up to $1200 for taxpayers who file a joint return.
• Even those who have little or no tax liability may qualify for a minimum payment of $300 for individuals or $600 for those filing jointly if their tax return reflects $3000 or more in qualifying income.
• Parents will receive an additional $300 payment for each qualifying child (eligible under the Child Tax Credit and have a valid Social Security number).
• Taxpayers must have a valid Social Security number to qualify and fall under the maximum income limits. The stimulus payment –– both the basic component and the additional funds for qualifying children –– begins to phase out for individuals with adjusted gross incomes (AGI) over $75,000 and married couples who file a joint return with AGI over $150,000.
• Payments will begin to be distributed on May 2, and are expected to be completed by mid-July. Taxpayers who chose ‘direct deposit’ on their 2007 tax return will receive their stimulus payments first.

I also want to make it clear that people with no filing requirement who turn in a tax return to qualify for the economic stimulus payment will not get a tax bill or owe money because of the stimulus payment.

Additionally, the IRS has issued a warning that several phone and email scams are being reported in relation to the economic stimulus payments. Please be aware of any individuals trying to gain your personal information - the IRS will never make any unsolicited calls or emails to any taxpayer or force anyone to sign up for a direct deposit of their stimulus payment. The only way to qualify for the payment is through the 2007 tax return, not any separate application.

If you still need more help, the IRS has set up a variety of resources for taxpayers. Please visit the following links or call 1-800-829-1040. Additionally, the IRS will be mailing information letters to every taxpayer that filed a 2006 tax return, so watch your mail for more information.

More resources

• IRS Information Center about stimulus payments: http://www.irs.gov/newsroom/article/0,,id=177937,00.html
• IRS press release on dates stimulus payments will be released: http://www.irs.gov/newsroom/article/0,,id=180247,00.html
• Frequently asked questions about payments : http://www.irs.gov/newsroom/article/0,,id=179181,00.html
• Determine eligibility for payment: http://www.irs.gov/app/espc/
• Information for Social Security recipients: http://www.irs.gov/newsroom/article/0,,id=179201,00.html
• Information for Veterans Affairs recipients: http://www.irs.gov/newsroom/article/0,,id=179203,00.html
• Free tax preparation and electronic filing available for taxpayers who earn $54,000 or less: http://www.irs.gov/efile/article/0,,id=118986,00.html