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Old 02-08-2021, 10:02 AM   #141
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Quote:
Originally Posted by mckittri2000 View Post
It's based on your 2019 AGI.
Since the bill hasn't been finalized, do we know this for a fact?

EDIT:

Quote:
According to The Wall Street Journal, checks will be based on household income in either 2020 or 2019 tax returns, whichever is on file with the Internal Revenue Service when the payments are made.
https://www.masslive.com/politics/20...threshold.html
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Old 02-08-2021, 10:16 AM   #142
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Well, we won't qualify for the new checks (3rd round) based on 2019. We "may" qualify based on 2020 depending on where the cutoff is. My question is will this 3rd check be "trued up" on 2021 returns (filed in 2022)? Seems like a lot of people will have already filed their 2020 returns before these checks are mailed out.
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Old 02-08-2021, 10:18 AM   #143
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Quote:
Originally Posted by REWahoo View Post
Since the bill hasn't been finalized, do we know this for a fact?

EDIT:



https://www.masslive.com/politics/20...threshold.html
Because I would qualify for a check based on my 2020 return but not my 2019 return, I'd have a strong incentive to file my 2020 return as soon as I can or else I'll have to wait a year before I actually see the money.
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Old 02-08-2021, 10:19 AM   #144
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Originally Posted by W2R View Post
Having just finished my taxes, I discovered that my AGI has gone up. If the future $1400 stimulus is based on our 2020 returns, and if the criteria are the same, I will not qualify to get that stimulus even though I did qualify to get the previous two.

I know, cue the tiniest violins playing the saddest song ever.... I'll be fine.
Same boat here, BUT I still have the option of recharacterizing a 2020 Roth contribution to a Traditional contribution (and taking a deduction) which might get us closer to being qualified for the 3rd round. All depends on the cutoff and what tax year this new round is actually reconciled with (2020 taxes or 2021 taxes?)
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Old 02-08-2021, 12:52 PM   #145
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For those of you still looking for your last stimulus check, I suggest you continue to look for it in your mailbox. My mother just got hers in the mail about a week ago.
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Old 02-10-2021, 05:57 PM   #146
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Quote:
Originally Posted by W2R View Post
Having just finished my taxes, I discovered that my AGI has gone up. If the future $1400 stimulus is based on our 2020 returns, and if the criteria are the same, I will not qualify to get that stimulus even though I did qualify to get the previous two.
Quote:
Originally Posted by mckittri2000 View Post
It's based on your 2019 AGI.
Quote:
Originally Posted by PatrickA5 View Post
Well, we won't qualify for the new checks (3rd round) based on 2019. We "may" qualify based on 2020 depending on where the cutoff is. My question is will this 3rd check be "trued up" on 2021 returns (filed in 2022)? Seems like a lot of people will have already filed their 2020 returns before these checks are mailed out.
I didn't see a complete answer for this in the thread, but the bill says it's a tax credit for the 2021 tax year, for which you would file your return in 2022.

The advanced payments are based on 2019 and 2020 tax returns.

Government Reference:

https://waysandmeans.house.gov/sites...%20Tax_sxs.pdf

"Treasury is directed to issue this credit as an advance payment based on the information on 2019 or 2020 tax returns."

"Taxpayers receiving an advance payment that exceeds their maximum eligible credit based on 2021 tax return information will not be required to repay any amount of the payment to the Treasury. If a taxpayer’s 2021 tax credit exceeds the amount of the advance payment, taxpayers can claim the difference on their 2021 tax returns."

Government Reference:

https://waysandmeans.house.gov/sites...s/7.%20Tax.pdf

"8 ‘‘SEC. 6428B. 2021 RECOVERY REBATES TO INDIVIDUALS. 9‘‘(a) IN GENERAL.—In the case of an eligible individual, there shall be allowed as a credit against the tax imposed by subtitle A for the first taxable year beginning in 2021 an amount equal to the 2021 rebate amount de-termined for such taxable year."

Questions and answers - non-government reference:

https://www.forbes.com/sites/anthony...-need-to-know/

Q: Is it determined based on our 2021 tax returns, because if so, we’re going to be waiting awhile, and I’d like that cash ASAP.

A: It works like this, we will all ultimately claim a “credit” equal to the stimulus payments we are owed based on our 2021 tax information, on our 2021 tax returns. But to speed up that process, the checks you receive if the bill becomes law will be based on either your 2019 or 2020 tax return.
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Old 02-10-2021, 07:18 PM   #147
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Originally Posted by Sue J View Post
DH is a spender and I am a saver. He wants his $600 to buy stuff. The other half will go into our general savings. There’s nothing that I need to spend it on right now.

Then there’s DHs broken crown a few weeks ago. $699 even with our dental discount plan. There goes my half!

We gave away half of our previous stimulus. This time we’re keeping it.

And stimulating the dentist.
And a few days ago he broke another crown! This is a molar way in the back that got a crown many years ago. The old crown could not be reused, the remaining tooth has a few cracks and had to be ground down and some pins inserted. $834 even with our discount plan!!!

So there we go, stimulating the dentist's economy again. I'm glad we have the money to take care of the important things without hesitation.

In all honesty, the stimulus money is a nice addition to the household but we are doing fine without it. Like many here, we don't need it. COVID has been a disruption to our lives and our community but not our ability to support ourselves. If it shows up in our bank account we will make good use of it.
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Old 02-10-2021, 08:25 PM   #148
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We gave a good chunk of the first one to our local food bank. The most recent $1200 will result in at least half going to our local food bank. I’ve already donated a quarter of it and I plan to make another donation soon.

These food banks were swamped with demand this past year. They do good work and provide necessities to the communities they serve. My wife and I were blessed to remain employed during this pandemic. We’re thankful and wanted to support a good cause that needs the money more than we do.
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Old 02-10-2021, 10:10 PM   #149
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Originally Posted by GenXguy View Post
I didn't see a complete answer for this in the thread, but the bill says it's a tax credit for the 2021 tax year, for which you would file your return in 2022.

The advanced payments are based on 2019 and 2020 tax returns.

Government Reference:

https://waysandmeans.house.gov/sites...%20Tax_sxs.pdf

"Treasury is directed to issue this credit as an advance payment based on the information on 2019 or 2020 tax returns."

"Taxpayers receiving an advance payment that exceeds their maximum eligible credit based on 2021 tax return information will not be required to repay any amount of the payment to the Treasury. If a taxpayer’s 2021 tax credit exceeds the amount of the advance payment, taxpayers can claim the difference on their 2021 tax returns."

Government Reference:

https://waysandmeans.house.gov/sites...s/7.%20Tax.pdf

"8 ‘‘SEC. 6428B. 2021 RECOVERY REBATES TO INDIVIDUALS. 9‘‘(a) IN GENERAL.—In the case of an eligible individual, there shall be allowed as a credit against the tax imposed by subtitle A for the first taxable year beginning in 2021 an amount equal to the 2021 rebate amount de-termined for such taxable year."

Questions and answers - non-government reference:

https://www.forbes.com/sites/anthony...-need-to-know/

Q: Is it determined based on our 2021 tax returns, because if so, we’re going to be waiting awhile, and I’d like that cash ASAP.

A: It works like this, we will all ultimately claim a “credit” equal to the stimulus payments we are owed based on our 2021 tax information, on our 2021 tax returns. But to speed up that process, the checks you receive if the bill becomes law will be based on either your 2019 or 2020 tax return.
I'm going to try and get my 2020 taxes done so the IRS uses 2020 income.

Of course, this depends on whether or not the next round actually happens.
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