Thousands of Southern Californians who received checks to tear out their lawns and replace them with more drought-friendly landscapes may have to pay taxes on the rebate money they received.
To prepare for that possibility, officials from the Metropolitan Water District of Southern California -- which funded a $340-million incentive program -- say they have begun collecting tax identification numbers and other information from program participants who received rebates of more than $600.
Those customers may be receiving 1099s from the MWD by the end of the year, said Deven Upadhyay, an MWD manager. But Upadhyay emphasized that the agency has “not made a decision” about whether the forms will be sent.