| Will the IRS reduce the Rebate check to me if I owe back taxes?
Many Tax experts strongly believe that the IRS would always have the ability to apply the rebate checks that you would be receiving to pay a prior years income tax liability or even other tax liabilities such as unpaid payroll tax liabilities.
So, in your case, I would not count on the Tax Rebate check arriving in its entirety, expect a deduction for past tax liabilities, and if this exceeds your Rebate amount, then do not expect to receive a refund! | 
