It is the middle of June 2020, and people still have questions about the Economic Impact Payments, also known as the Stimulus Check, the Recovery Rebate, or the CARES Act payment. Here are the questions I hear the most.
I Think I Threw Away My EIP Card. Can I Get It Replaced?
Yes you can and you don’t even need to know the number on the card!
Many people who did not receive their Stimulus Payment by direct deposit were sent their rebate on a debit card. The EIP cards came in plain envelopes with a return address of Money Network Cardholder Services. To activate the card, you need to call a toll free number, and provide your name, address, social security number, and create a PIN. For many cautious consumers, this looked too much like an identity theft scam, and they threw the card away. I think I would have done the same! The good news is you can get a replacement card by calling MetaBank Customer Service at 800-240-8100 (option 2 from the main menu). The $7.50 replacement fee will be waived for the first request.
But Watch Out for Actual Scams
Scammers were quick to jump on the opportunities that the Economic Impact Payments provided. They use the recovery payments as cover for Identity theft and other schemes that look to steal your personal information or even your money. Remember, the IRS will never call you, text you, email you or contact you on social media asking for personal information or money. They also do not use robo calls. Also, watch out for emails with attachments or links claiming to have special information about economic impact payments or refunds.
Do I Have To Pay Taxes On My Rebate Check?
The good news is that you will not pay taxes on your Stimulus Check. You do not need to include the payment in your Gross Income and it will not decrease your refund or increase the amount you owe on your 2020 tax return. It will also not count as income in determining eligibility for federal government assistance or grant programs. Much to my surprise it is actually a tax free gift from the government!
What If I Was Paid Too Much? Do I Need To Pay Back My Economic Impact Payment?
In most cases, no you don’t! If your circumstances change in such a way that you would not qualify for the Stimulus Check, or would receive a lesser amount, you do not need to pay it back. but if your circumstances change and you would receive more money, you will be able to collect that when you file your 2020 Federal Income Tax Form.
I Owe Back Taxes, Will They Keep My Stimulus Check?
For most people, no. Even if you owe back taxes or other federal obligations you will still receive your check. The only exception is for back child support in which case your stimulus check will be applied to your unpaid child support.
I Need To File A Tax Return, But I Am Concerned About Seeing A Tax Preparer Because of Covid 19
Stimulus Payments will be made throughout 2020, and if you don’t receive one you can claim your payment when you file your 2020 tax return. However, many tax preparers, such as myself, can do your taxes remotely. It is easy and secure and you never need to meet face to face.
Will There Be A Second Stimulus Check?
It looks like there will be. Right now the Health and Economic Recovery Omnibus Emergency Solutions, or HEROES, Act has been passed by the house, but is waiting on the Senate. Eligibility is mostly the same as the original CARES Act payments, however, more children will qualify, including those over 17.
I Have More Questions
If you still have questions about Economic Impact Payments or tax questions in general, feel free to contact me and I will do my best to get you an answer! You can also check out the IRS’s Economic Impact Information Center.
Now, how are you going to use your Economic Impact Payment? Let me know in the comments!
Health, Wealth and Happiness!
Kathleen