Wednesday, April 14, 2021

How the epidemic has changed your tax


You need to know how much you have already received to claim the credit; If you do not have the details of the amounts (notice 1444 for first incentive payment and 1444-B for second), you can get information by setting a person Online account. (The husband and wife filing jointly will have separate accounts.)

Fast way of Get credit By filing tax returns electronically and depositing the deposited funds directly, even if you do not need to file otherwise. If you make $ 72,000 or less, you can do it for free through the IRS Free file program.

This is possible, especially if your financial situation or situation has changed over the last year.

The recovery credit on the 2020 return is based on one person’s 2020 tax year information, while the second incentive payment was based on the 2019 tax year. (For the first incentive check, the IRS said, 2018 returns can be used when filing or processing 2018 returns.) So if your income was reduced in 2020, and you didn’t receive the full amount, you could potentially Can get it. Get more

The same goes for a change in the circumstances of life. If you had a child in 2020, for example, you may be eligible for more money, or perhaps you were no longer dependent on your parents’ tax returns (and in 2019), which may make you eligible.

Unintentional immigrants without Social Security numbers are ineligible for payment – and the CARES Act, also a $ 2 trillion relief package signed into law at the end of March Most spouses stopped And children from receiving checks even if they were US citizens.

December The Relief Bill has been changed, at least in part. Now, married couples filing joint returns may be eligible to pay for a spouse, who has a valid social security number, The IRS said. Every child with a social security number is also eligible for payment.

Use a recovery rebate credit worksheet or tax preparation software to determine if you are eligible.

The latest relief package includes another incentive payment of up to $ 1,400. The IRS will calculate the payment based on your most recent tax return.



Source link

Translate ยป