The little-known fact is that the EIP is actually an advance tax credit for your 2020 tax year.
The statutory language in the CARES Act that set the whole EIP scheme in motion says that anybody who gets more money than they are actually entitled to can keep the excess. I endorse that concept: any money that gets into people’s hands is fair game.
As everybody knows by now, the Feds are using our beloved Internal Revenue Service to distribute so-called Economic Impact Payments (EIPs) to many Americans, also known as “stimulus checks.” Singles can receive up to $1,200, married couples can receive up to $2,400. Your under-age-17 kids are worth up to another $500 each. However, EIPs are phased out at higher income levels — based on your 2019 Form 1040 if you’ve already filed it, or your 2018 Form 1040 if you have not.
According to Market Watch: to read more, click here