IRS: YOU MAY HAVE TO RETURN YOUR STIMULUS MONEY-HERE’S WHY
This tax season, many people are using this time to claim their tax refunds and file for any stimulus money they never got with the first two payments. But if you’re in a different situation where you received stimulus money you weren’t actually qualified for, the IRS may ask you to send it back.
People are typically excluded from receiving stimulus checks due to eligibility rules that are outlined in the relief bills. For instance, if you made more money during the 2019 tax season (or 2020) than the specified income cutoff for a stimulus payment, the IRS would expect you to return the money. Cases like this happened with the first stimulus check when the IRS accidentally sent out payments to people who weren’t eligible. If you received a check in error, there are ways to send the money back, but the specific way depends on the payment method — paper check, EIP card or direct deposit.
What if I get more stimulus money than I should from the third check?
Now that the third stimulus check is official and on the way to millions, we know the amount you could expect to get is up to $1,400 per person. We also know that the income cutoff to receive a payment at all is $80,000 for an individual taxpayer, $120,000 for a head of household and $160,000 for a married couple who files jointly. If you make more than that amount and still receive a third stimulus payment, the IRS will likely expect you to return the difference.
The IRS expects you to return a stimulus check payment for the following reasons
The government determines who is and isn’t eligible to receive a stimulus check based on several factors. If you fall into any of these categories and received a stimulus check, it was likely by error:
You received a check for someone who has died — but there’s some nuance here (more below).
You don’t have a Social Security number.
You’re considered a “nonresident alien” without a US citizen spouse.
You’re a noncitizen who files federal taxes.
Your adjusted gross income exceeds the limit; for example, $87,000 for a single taxpayer with the second check.
You’re claimed as a dependent on someone else’s taxes (this applies to the first and second checks).
Click the following links for more
Can I keep any stimulus money I received for someone in my household who’s died?
If you’ve already cashed or deposited the stimulus check, here’s how you can return it
Never received any stimulus check money at all? What you need to know