When i entered on the 2020 joint return our 2 stimulus check amounts that changed our refund of $800 to us oweing the irs $277. I thought stimulus checks were exempt?

[lewing84]

Why did we have to pay fed income tax on stimulis check received?

[VolvoGirl]

You are not paying tax on them and it is not deducting it from your refund or increasing the tax due.  Turbo Tax started out by assuming you didn't get it and  giving you credit for the whole amount so your refund was too high to begin with.  Then when you entered what you already got the starting refund was reduced or the tax due increased to your real actual refund.  Otherwise you would be getting the Stimulus amount again on your tax return.

Look at your return.  The Stimulus payments do not show up anywhere as taxable income so you are not being taxed on it.  And it's not being subtracted anywhere.

[Randy110]

Why is my 2020 taxes Turbo Tax asking what I  got in 2021 from the stimulis check i got in March 24, 2021

[Randy110]

How does stimulis money i got in 2021 even recorded in 2020 taxes I never got a stimulis check in 2020

[xmasbaby0]

Congress passed the 2nd stimulus bill at the end of 2020. Both stimulus checks were an advance credit for your 2020 tax return,  The 2nd stimulus checks started going out at the very end of December 2020 and continued into early January 2021.  When you fill out the recovery rebate credit it is important for you to enter the entire total of the amount you have received for yourself, your spouse, and your dependent children so far.   Entering the wrong amount will  delay your 2020 refund.

It should help you if you bear in mind that the purpose of the question is to determine if you have already received the amounts you should have received.

[Hal_Al]

On your 2020 tax  return, your report the first stimulus ($1100 for taxpayers, $500 for kids under 17) and second stimulus ($600 taxpayer & kids) actually received.  Report the 2nd stimulus even though it was received in early 2021.  Do NOT report the third ($1400) stimulus.  The 3rd stimulus is considered to be for 2021.