 TITLE: How Will COVID-19 Affect Your Taxes? CONTENT: What to Know About Stimulus Payments and 2020 Taxes\n---------------------------------------------------\nDid you receive Economic Impact Payments? If you earned less than $75,000 as a single person, $112,500 as head of household or $150,000 as a married couple in 2019 or 2020, you may have been eligible for the first two rounds of COVID-19 relief payments. The first of these payments began going out in April 2020, and the second round in late December. A third round of payments is still being debated as of this writing.\nHere's what to know about Economic Impact Payments, also called stimulus checks, and your taxes:\n*   **COVID-19 stimulus payments are not taxable.** Receiving these payments won't affect how much you owe in taxes and they won't reduce the amount you receive as a refund.\n*   **You do not have to return stimulus money.** If your 2020 tax return shows that your income exceeded the limits listed above, don't worry. As long as your 2019 or 2018 income qualified you, you may keep the money. In addition, if you received $500 for a child who turned 17 in 2020, you do not have to return that payment either.\n*   **You can file for stimulus money you are eligible for but have not received.** By claiming the Recovery Rebate Credit on your 2020 tax return, your stimulus payment will be applied to your taxes as a credit, reducing the amount you owe or increasing your refund payment, depending on your situation.\n*   **Keep the notice you received with your payment(s) on file.** The IRS mailed out Notice 1444, Your Economic Impact Payment within 15 days of sending out stimulus payments. You should keep this notice with your 2020 tax records so you know how much you received in stimulus money and when you received it. END