EIP2 is to be reported on the 2020 federal tax return.  EIP is an advance tax credit based on the 2020 federal tax return.

Thank you!

I included my eip2 which I received jan4 into my tax filing, Taxes were filed and irs is changing refund based on the eip2.  Not sure if i should have included the eip2. why would irs reduce my refund by 2400

As DoninGA mentioned above, the EIP2 is to be reported on your 2020 tax return. The reduction in your anticipated refund amount can occur for various reasons. some of which can be found here @jr365.