Taxpayer asks: What should you do if both parents who are not married but take turns filing the child every other year both got credit ($500) for the child? Taxgirl says: The Internal Revenue Service (IRS) says to do nothing (FAQ #30). There is no clawback provision in the CARES Act, so math error in…
Taxpayer asks: My child’s fathers stimulus payment had gotten taken due to child support, how long does it take for me to receive it? Taxgirl says: It depends. Here’s how the process works. Once a stimulus check is seized, it does not automatically get delivered to the person who is owed the child support. The…
Taxpayer asks: Last year I converted an IRA to ROTH and thus exceeded the income limit – otherwise I would have qualified. Is there a legal way around this? Taxgirl says: Not for last year. But remember that the stimulus checks are based on a temporary, refundable tax credit for 2020. If your income will…
Taxpayer asks: Hello, My stepdaughter received her $1,200 payment from the Federal government, however, she has not received anything for her minor child, who was included on both her 2018 and 2019 tax returns. Have you heard of anything regarding parents receiving separate or delayed payments for their children? Taxgirl says: Yes. This has been…
The Internal Revenue Service (IRS) has already delivered more than 140 million Economic Impact Payments (EIPs, or stimulus checks) worth $239 billion by direct deposit to accounts at financial institutions, Direct Express card accounts, and by check. Beginning this week, some Americans will receive nearly 4 million EIPs by prepaid debit card, instead of by paper check….
For weeks, taxpayers have been desperately seeking answers on Economic Impact Payments (EIPs, or stimulus checks). Today, the Internal Revenue Service (IRS) has announced that it will add 3,500 telephone representatives to answer some of the most common questions. That’s good news. But the IRS reminds taxpayers that telephone assistance and other services will remain limited. The IRS…
The Internal Revenue Service (IRS) and Treasury have announced that they have delivered nearly 130 million Economic Impact Payments (EIPs, or stimulus checks) to Americans. More are on the way. I know – and you know – that some Americans may have received a payment amount different than what they expected. The IRS has some explanations for…
Still waiting on your stimulus check? The Treasury Department and the Internal Revenue Service (IRS) says that you need to access the Get My Payment tool by noon Wednesday, May 13, to get your check faster. Approximately 130 million individuals have already received payments worth more than $200 billion in the program’s first four weeks. The IRS…
The Internal Revenue Service (IRS) has issued some guidance about how to return an Economic Impact Payment (EIP) or stimulus check. That is, assuming that you want to. To be clear, the payment is NOT taxable. It will NOT negatively affect your 2020 tax return (it won’t decrease your refund or increase how much you…
Hear that? It’s the sounds of the Internal Revenue Service (IRS) trying to retroactively impose rules on stimulus checks being paid out under the CARES Act. The latest target? Incarcerated persons. On May 6, 2020, the IRS posted the following FAQ on its website: Q12. Does someone who is incarcerated qualify for the Payment? (added…