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Economic Impact Payment

Posted by Admin Posted on Feb 17 2021

The IRS issued approximately 160 million Economic Impact Payments (Payment) totaling over $270 billion under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. 

The IRS mailed Notice 1444, Your Economic Impact Payment, to your last known address within 15 days after the payment was made.  Please provide your tax preparer with Notice 1444.  [The IRS is unable to issue a copy of the notice.  You may have obtained a Payment even if a notice was not received.] 

You may be eligible to claim the Recovery Rebate Credit on your 2020 tax return if you did not receive a payment in 2020 or did not receive the maximum payment.  This credit will increase the amount of your tax refund or lower the amount of the tax you owe.
 

  • The Payment is not includible in your 2020 taxable income
  • The Payment will not reduce your refund or increase the amount you owe when you file your 2020 Federal income tax return.
  • The Payment will not affect your income for purposes of determining eligibility for Federal government assistance or benefit programs.
     

There is no provision in the law that would require individuals who qualified for a Payment based on their 2018 or 2019 tax returns, to pay back all or part of their payment.  No repayment is required even if you would not qualify for a full or partial payment based on your 2020 income. 

You can check the status of your Payment using the IRS website’s “Get My Payment” at https://www.irs.gov/coronavirus/get-my-payment

This website will allow you to:

  • Get your payment status.
  • See your payment type.
  • Provide your bank account information (in certain cases).
  • You will need to access your bank account information separately to find the Payment amount.  The IRS website does not provide the dollar amount of the issued Payment.
     

The IRS urges everyone to be on the lookout for scam artists trying to use the Economic Impact Payment as a cover for schemes to steal personal information and money.  The IRS will NOT contact you by email, text messages, or social media to request personal or financial information.  Watch out for emails with attachments or links claiming to have special information about Economic Impact Payments or refunds. 

If you have questions about your Economic Impact Payment, please contact our office.  We are happy to assist you.