why are the federal stimuli so confusing

So I procrastinated a lot on filing taxes even though it should be incredibly easy. I am now looking at this at the ***crack of dawn. I also need my secondary employer to give me a W2 but they probably ended up mailing it to like 3 addresses ago which is actually a problematic zip code for my ssn to end up in I hate to say.

I am using credit karma and I just clicked through the “Answer questions about the Federal stimulus” portion where you enter the $$$ for Payment 1 and Payment 2. I put $600 for each #1 and #2 because there were 3 payments (in order) 600 - 600 - 1,400. I think that is not what they wanted. Because after I entered it my refund shot up to about $1,500 when previously it was hanging around $1,000 mostly completed with almost all the critical info. What’s happening.

Am I supposed to pretend it was only 2 stimulus payments that were 600 and then a combined 2,000? I am confusion. And now I can’t figure out a way to go back and edit the questions. I shouldn’t have answered them in the first place.

I already received all of the federal stimulus I was supposed to receive.

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Well, I just figured out how to delete it.

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You might have figured this out but the stimuli were supposed to be 1200 - 600 - 1400. You can also just leave that part blank on the credit karma form and it will submit fine though.

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You should enter the amounts you received for stimulus 1 and 2. If that was 600 and 600, then enter that. (Stimulus 3 is in 2021, so don’t enter that on your 2020 return) But if based on your 2020 income you would have been entitled to a larger first stimulus than you received, Credit Karma is adding that to your refund amount. You can check this by comparing your 2020 income to the income ranges for the first stimulus (sorry I don’t have that info handy).

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What @Crow said. The 2020 taxes are only concerned with the first stimulus payment in March / April time frame and the second around December / January. You should have received $1200 / $600 for those. If you did not (you can check bank statements), you are eligible for the Recovery Rebate Credit. That’s why your refund increased by $600 when you entered $600 / $600.

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They are considering the 2nd stimulus part of 2020 even though it was received in January? (I need to do my taxes still, and I haven’t tried yet, but I definitely received #2 in January, not December, so I am just curious.)

Yes. I think the idea is that if people did not receive it by the time taxes are due, they will get the money through their taxes. Some people are filing only to get the stimulus funds (i.e. people on social security with low incomes who otherwise would not have to file).

Note that stimulus funds are not taxable. They are reported only to determine if you are eligible for the Recovery Rebate Credit.

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I actually received mine Dec 31, 2020. It was authorized in 2020 and is considered a 2020 stimulus regardless of when it was received.

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If she was a dependent in 2019 it was assumed she would be a dependent in 2020. People who were dependents on another’s return were not eligible for the stimulus payments. Once she filed without dependent status she became eligible.

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