Feds Confirm You Won’t Have to Repay Stimulus Checks
If you received a stimulus payment, you won't need to repay it, according to federal officials.
Ever since the CARES Act was announced, speculation and misinformation has swirled around the internet about whether recipients would need to repay the $1200 stimulus payments, and the $500 for children.
As recently as this week, posts were circulating on Facebook and YouTube suggesting that the stimulus payments are "too good to be true" and would need to be repaid - either directly, or in the form of a debit against future tax returns.
Representatives from the Treasury Department and the Internal Revenue Service, confirmed to The Associated Press that households will not have to pay back the money.
According to ABC News, a spokesperson from the US Treasury Department says "there is absolutely no obligation to pay it back."
Direct deposits of stimulus payments are scheduled to begin this week, with paper check being mailed by the end of April and early May. The IRS is launching a website that will allow you to track your stimulus payment.
Earlier this week, Money.com confirmed the payment will not count towards your 2020 income, meaning you won't need to pay taxes on it either.
According to the IRS, here's who qualifies for a stimulus payment:
U.S. residents will receive the Economic Impact Payment of $1,200 for individual or head of household filers, and $2,400 for married filing jointly if they are not a dependent of another taxpayer and have a work eligible Social Security number with adjusted gross income up to:
- $75,000 for individuals
- $112,500 for head of household filers and
- $150,000 for married couples filing joint returns
Taxpayers will receive a reduced payment if their AGI is between:
- $75,000 and $99,000 if their filing status was single or married filing separately
- 112,500 and $136,500 for head of household
- $150,000 and $198,000 if their filing status was married filing jointly
The amount of the reduced payment will be based upon the taxpayers specific adjusted gross income.