Can They Take Back 2020 Stimulus Payment if the person made too much

[DanPaul02]

If a person received a $600 payment based on their 2019 return but made too much to qualify in 2020, will they have to pay back that stimulus payment.  I know they cannot clawback 2018 or 2019, but is 2020 protected?

[DoninGA]

No.  If the 2nd stimulus is paid and you were not eligible based on the 2020 tax return, you do not have to pay back the payment.

[NCperson]

NO! Congress was very clear on that, 

the way it works is on your 2020 tax return you calculate the stimulus you are eligible for based on your 2020 income, filing status and dependents under the age of 17, subtract the payments received.  The result becomes a credit on your tax return which will increase your refund or decrease your tax due.  If the answer is negative, you do not owe the money back!

[DanPaul02]

Thank you.  If there anything that I can read to help me to understand this?

[NCperson]

@DoninGA - also true for the first payment 😉

[NCperson · Accepted solution]

look at page pdf page 60 (instruction page 59) in the link below; it's the IRS worksheet to figure all this out.

You will note on line 17 and 20 it states that if the answer is negative, you don't have to pay it back. 

https://www.irs.gov/pub/irs-dft/i1040gi--dft.pdf

[DanPaul02]

Thank you