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TurboTax Help
Intuit

How will the third stimulus impact me?

The American Rescue Plan provides relief for millions of Americans through numerous measures, including a third round of stimulus checks, unemployment benefit extensions, and expansions of the Child Tax Credit and the federal Earned Income Tax Credit (EITC).

This means if you qualify for a third stimulus check, you could get up to $1,400 for each taxpayer in your household plus $1,400 for each dependent.

Generally, you should qualify if:

  • You’re a U.S. citizen or U.S. resident alien
  • You have a valid Social Security number
  • You’re not claimed as a dependent on anyone else’s return, and
  • Your adjusted gross income (AGI) is less than
    • $150,000 if you’re married and filing a joint return or a qualifying widow
    • $112,500 if you’re filing as head of household, or
    • $75,000 if you’re filing single or married filing separately

If your AGI is above those amounts, your payment will be reduced (“phased out”). If your AGI is above the amounts below, you won’t receive a third stimulus payment.

  • $160,000 if you’re married and filing a joint return or a qualifying widow
  • $120,000 if you’re filing as head of household, or
  • $80,000 if you’re filing single or married filing separately

To find out if you are eligible and how much you can expect, visit our stimulus calculator.

Do I need to apply to get a stimulus check?

You don’t need to do anything to get your stimulus check. The IRS will determine eligibility based on your last tax return (either 2019 or 2020) and will likely send your payment to the bank account where your tax refund was deposited.

When will I get my stimulus check?

The IRS has begun distributing stimulus payments and we expect people could receive their stimulus payments as early as next week (March 17th).  

For information on when you can expect your stimulus payment, check the IRS Get My Payment tool which will be updated starting the week of March 15th.

What about my state's stimulus?

If your state has a stimulus program in place, you don’t need to do anything to get your state stimulus check.

Stimulus payment FAQs

The IRS will determine eligibility and where to send stimulus payments based on your last tax return. Stimulus payments will likely go to the bank account where their last tax refund was deposited. For those who didn’t have a refund or didn’t choose direct deposit for their refund, the stimulus payment may be sent by check. 

 

In some cases where the IRS has received a 2020 tax return, but hasn’t yet processed it yet.  In these cases stimulus payments may be issued to the account on the 2019 tax return

If the bank information is invalid or the account has been closed, the bank will return the payment to the IRS and the IRS will mail it to the taxpayer by check at the address they have on file.

For more information on your refund, check the IRS Where's My Refund page.

The IRS updates its tool to show taxpayers where and how EIP funds will be delivered once they have issued a payment. If you are seeing a status that indicates your payment status is unavailable it means that either the IRS has not yet issued your payment OR you are not eligible for a stimulus payment. Although you may want to check the tool regularly, the payment status is only updated once per day.

The IRS Get My Payment tool is showing information for people whose stimulus payments have already been issued. Payment status is available only once your stimulus payment has been issued by the IRS.

If your stimulus payment has not been issued you will see “Payment Status Unavailable”.

None of the three stimulus checks (or Recovery Rebate Credits) are considered income, and therefore aren’t taxable. They won’t reduce your refund or increase what you owe when you file your taxes this year, or next. They also won’t affect your eligibility for any federal government assistance or benefits.

If you don’t normally file a tax return, you don’t need to do anything to get your stimulus payment. The IRS will base your eligibility on your last tax return, from either 2020 or 2019. If you filed a return for $1 last year as required to receive the first stimulus (either through TurboTax Stimulus Registration or the IRS Non-Filers: Enter Payment Info Here tool), the IRS will use the information you entered to issue this third check.

If you didn’t file a 2019 return, the IRS recommends that you file a 2020 return and claim the Recovery Rebate Credit to get your stimulus payment.

And if you receive Social Security or Disability benefits, your stimulus payment will be included with those automatically.

According to the IRS, a letter will be sent to the taxpayer's last known address no more than 15 days after the payment is made. The letter will provide information on how the payment was made and, if you did not receive the payment, how to report it. Visit irs.gov for more information.

If you already filed your 2020 return, there’s nothing else you need to do to get your stimulus check. Your eligibility will likely be based on the information in your return, and your stimulus check will be sent to the bank account you used for your refund or mailed to your address on file.

Right now, there is no way to change your information for your stimulus check. The payment will be based on the information from your latest tax return and will go to the bank account or address the IRS has on file for you.

Your stimulus payment will likely be sent to the same Turbo® Visa® Debit Card account you received your refund on.

If you don’t have your card anymore, but have access to your account, you can sign in and order a replacement card.

If you don’t have access to your Turbo account, call Green Dot at (888) 285-4169 to order a replacement card or to request a check for your account balance.

We know stimulus checks are important and we are doing everything we can to make sure eligible taxpayers get their stimulus checks. We have been working closely with the IRS and have confirmed with them that they have accurate banking information for all TurboTax filers.

If someone claimed you as a dependent, they will get your stimulus payment since you are listed on their tax return.

If they haven’t filed their 2020 tax return yet, you could file one yourself to receive your payment. They won’t be able to claim you as a dependent this year and it might impact their return, so you should probably discuss this with them before you do.

Unemployment extension

The Plan also provides a $300 federal increase to weekly unemployment payments and extends two key pandemic unemployment benefits programs through September 6, 2021.

The first $10,200 of unemployment payments are now tax-free for households with an annual income under $150,000.

If you’ve already filed your 2020 return, you should not do anything. The IRS will refigure your taxes and send any refund amount directly to you. Go here for more unemployment updates as they become available.

Unemployment FAQs

The IRS, and most states, consider unemployment payments as taxable income. This means that you have to pay tax on these payments and report them on your return. With this new law, if your household income is less than $150,000, the first $10,200 of unemployment will be tax free, but any amount you receive above that will be taxed.

To help at tax time, consider withholding taxes from your unemployment payments up front. You can usually do that by marking a checkbox or choosing that option when you’re filling out your request.

If you haven't filed your 2020 tax return, yet, go ahead and do so. TurboTax will guide you through claiming these additional unemployment benefits.

Expanded Child Tax Credit

Starting in tax year 2021, the Plan increases the Child Tax Credit from $2,000 to:

  • $3,600 for each child under 6
  • $3,000 for each child age 6–17

It also makes the credit fully refundable, meaning you’ll be eligible to get it even if you don’t owe taxes.

Starting in July, payments for the Credit will be sent in advance so you won’t have to wait to file your 2021 taxes to receive that amount.

You don’t have to do anything to get these payments. The IRS will likely determine eligibility based on your most recent tax filing.

To view your eligibility and advance payments, or to unenroll from getting advance payments, go to the IRS Child Tax Credit Update Portal.

Federal Earned Income Tax Credit

Starting in tax year 2021, the Federal Earned Income Tax Credit (EITC) has been expanded for workers without kids and nearly triples the maximum credit. Eligibility is also extended for a wider range of tax filers, including those who are over 65 or between the ages of 19–25.

When you file your return next year, we’ll check if you qualify and ensure you get the maximum credit amount you can.

Advance Premium Tax Credit relief

The Plan also relieves eligible taxpayers of having to pay back any excess advance premium tax credit they took. If you used any credit to lower your monthly health insurance payment when you applied for coverage in the Health Insurance Marketplace®, you might not have to pay it back under the new law.

When you enter your 1095-A in TurboTax, we’ll determine your eligibility whether or not you have to pay back any amount.

Check out the latest release from the IRS about the Advance Premium Tax Credit.

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