LUBBOCK, Texas – According to LaToshia King, owner of RVL Tax Services, if a person received a $1200 or a $600 stimulus payment, their upcoming 2020 tax return will not be significantly affected.
“You need to claim it because not gonna hurt your taxes at all,” said King.
If a person has not received their stimulus payment, they can file for a Recovery Rebate Credit (RRC). Through the RRC, the Internal Revenue Service (IRS) will credit your unreceived stimulus payment to your 2020 tax return.
King said that if a person owes back taxes to the IRS or has defaulted on a student loan, their stimulus payment will not be garnished. A person might not receive their payment if they owe child support.
According to the IRS, a person who has received unemployment benefits will not be disqualified from receiving a stimulus payment. While the stimulus payment is not taxed, unemployment benefits are still subject to federal/state income taxes.
King said people or families that have not received their $600 stimulus payment should wait until the end of January before filing for the RRC.
“I know people are trying to hurry up and rush and get this instant money,” said King. “But if you can, just try to wait until the end of the month, so it won’t offset anything.”
For more information, visit: Economic Impact Payments | Internal Revenue Service (irs.gov)