Taxes ?

[joey2665]

Originally Posted by thinkxingu

Are you saying that the new stimulus will be based on 2020's tax returns either way (which means that if I showed an increased income over '19 that I'd have to repay in '21)?

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Yes. Your income 2020 would need to be below the new threshold they set for this upcoming payment. It might be the same threshold as 2019 or not. We won’t know until the bill is signed.

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[thinkxingu]

Originally Posted by joey2665

Yes. Your income 2020 would need to be below the new threshold they set for this upcoming payment. It might be the same threshold as 2019 or not. We won’t know until the bill is signed.

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Gotcha, thanks!

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[bigdog]

Originally Posted by joey2665

Yes. Your income 2020 would need to be below the new threshold they set for this upcoming payment. It might be the same threshold as 2019 or not. We won’t know until the bill is signed.

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Joey,

What I find interesting and strange, the IRS appears to date, to be using only 2019 tax return as the baseline and those amounts for determining if you qualify for any stimulus money. If that's the case I wouldn't qualify because I am over the threshold amount.

That said, if they start sending new stimulus checks based on the 2019 return, as they did before,
I would miss out on any new stimulus checks, based on the above reason.
However, based on my 2020 income I would qualify.

I wonder what tax year filing, the IRS will base any new stimulus checks ?
Use the 2019 tax return as they did in the past, or actually use you 2020 Return if filed ?
Guess we'll have to wait and see ? TBD ?

[joey2665]

Originally Posted by bigdog

Joey,

What I find interesting and strange, the IRS appears to date, to be using only 2019 tax return as the baseline and those amounts for determining if you qualify for any stimulus money. If that's the case I wouldn't qualify because I am over the threshold amount.

That said, if they start sending new stimulus checks based on the 2019 return, as they did before,
I would miss out on any new stimulus checks, based on the above reason.
However, based on my 2020 income I would qualify.

I wonder what tax year filing, the IRS will base any new stimulus checks ?
Use the 2019 tax return as they did in the past, or actually use you 2020 Return if filed ?
Guess we'll have to wait and see ? TBD ?

They used 2019 as a baseline as obviously your income for 2020 was not complete. As a result it is reconciled on a worksheet for 2020. If you didn’t qualify with 2019 but do now in 2020 because you fell below the threshold you will receive a refundable tax credit. Conversely if you qualified based on 2019 but exceeded the threshold in 2020 you will need to repay all or part of what you received which would be completed on the 2020 tax return.

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