Hi- Will I be able to claim the third stimulus check via the Recovery Rebate Credit for a baby born in 2020 on my 2020 tax return? I was successfully able to get the credit for the first two checks included on my draft return, but am wondering if TurboTax will add in an option to claim the credit for the third payment at some point. Or, will I receive the check later this year after filing my 2020 return? Thanks for any insights!
No, you do not claim/get the third stimulus payment on your 2020 tax return. The third stimulus payment will be send out by the IRS separately. If you are finished with entering all you your information then I would suggest to e-file your 2020 tax return so the IRS can base the third stimulus payment on your 2020 tax return.
According to the IRS the third round of Economic Impact Payments will be based on the taxpayer's latest processed tax return from either 2020 or 2019. If the IRS has received and processed a taxpayer's 2020 return, the agency will instead make the calculation based on that return.
Please see IRS Get My Payment and How will the third stimulus impact me? for more information.
What about in the event the third stimulus check was sent out/scheduled prior to 2020 tax filing? Will it be a rebate during the next tax year? Or will the IRS disburse the additional funds once 2020 taxes are filed and the new child is recorded by the IRS? It's something I've been wondering as I had a child born in 2020 and didn't find info on that specific case, which I fall in. Thanks!!
That is still unclear at this point. This information is provided by the IRS - Third Stimulus FAQ