Do I report my stimulus as income?

[Lex142]

I'm surprised turbotax hasn't gotten this question. If I received a covid stimulus check do I need to report it as income ?

[AlanT222]

No, you do not report your stimulus payment as income.  However, you must report receipt of the stimulus payment so that you do not also receive the Recovery Rebate Credit. 

Here is how to report the receipt of the stimulus payment, again it will not count as income:

1. Log into Turbotax
2. Click Federal Review ( you should see "Let's make sure you got the right stimulus amount")
3. Click Continue
4. Click "Yes" and fill in the correct information

[xmasbaby0]

@melljean007 Sorry----the way the tax caster tool works is that it gives you the stimulus in your estimated "refund" at the beginning----so later when you enter that you already received it, the refund is reduced because you cannot get the stimulus money again.   You are not being taxed on stimulus you received, nor are you unfairly getting the wrong amount for your refund.

[xmasbaby0]

You misunderstood.   Go through all the steps of the taxcaster tool.   If you received stimulus money for the 3rd EIP payment then enter the amount you received.

Here is an explanation again:

The tax caster tool starts out by putting the 3rd stimulus amount into the estimated “refund” you will get because not everyone received the 3rd stimulus in 2021—-some people will not get it until they file 2021 returns.   So when you enter that you actually already received the 3rd stimulus, the estimated “refund” is reduced because you cannot get that stimulus money twice.   You are not being taxed on the stimulus and you are not being cheated out of it.  

In January you are going to receive a letter from the IRS that shows how much stimulus you received in 2021.   You will enter that information carefully into your 2021 tax software.   If you are eligible to receive any additional stimulus money then it will appear on line 30 of your Form 1040.

[Critter-3]

@melljean007 

Again you are not understanding the tool ... once you said you were a person in step one did you notice it gave you a refund of the amount of the stimulus payment you already got before you even entered in kids or income???   

That is a credit on the 2021 return  BUT ONLY IF  you did not already get the payment in advance.  Then the tool asked if you got the payment and when you entered the amount you already got the refund was reduced by that same amount.   You cannot get the advance and the credit for the same money ... it is one or the other ... you were not short changed.