Third stimulus check: Why some people should file their taxes ASAP

[DonViejo]

BY AIMEE PICCHI

FEBRUARY 15, 2021 / 10:12 AM / MONEYWATCH

With lawmakers negotiating another round of coronavirus relief aid, many Americans are eager to learn if and when they'll receive a third stimulus check. Aside from Congress' time frame for passing the legislation, there's another factor that could influence stimulus payments: your 2020 tax returns.

The reason boils down to the confluence of tax-filing season and the expectation that Congress will pass the next relief bill by mid-March. The IRS on Friday officially started accepting tax returns on February 12, with the filing window closing on its customary date of April 15.

That effectively means the agency may start distributing stimulus checks in the middle of tax season, which could affect how much Americans get — especially households that lost income last year or who had a child in 2020. The reason: The IRS relies on each individual's most recent tax filing to determine their stimulus check payment.

If a taxpayer doesn't file their 2020 tax returns before Congress passes its next relief bill, the agency will likely rely on their 2019 tax return to calculate their stimulus check payment — and that 2019 return might not reflect income losses during last year's economic crisis or a new child, for example.

more
https://www.cbsnews.com/news/stimulus-check-tax-filing-income-2021-02-15/

[mr_lebowski]

1. Anybody know if money put in one's IRA can be deducted for purposes

of not going over the minimum for stimulus checks?

I could see a case for it going either way ...

[kimbutgar]

3. I finished doing my taxes and it did ask the question about the stimulus check

But my income was slightly lower last year and I’m getting the same amount back as I got in 2019 taxes.