There is one important thing you should remember when you get your Economic Impact Payment (EIP): Make sure to keep Notice 1444.
The Internal Revenue Service (IRS) mails this notice within a few weeks after sending your Economic Impact Payment (EIP). This notice includes some essential information about the payment, such as the amount you received, how the payment was made, and how to report any payment that wasn’t received.
Why Do I Have to Keep Notice 1444?
The IRS mails this notice to each recipient’s last known address. It’s important to keep it because if you think the amount of your payment is wrong, you will refer to your Notice 1444 when you file your 2020 tax return to claim additional credits, if you are eligible for them.
Keep your Notice 1444 with other important tax records, such as W-2 Forms from employers, 1099 Forms from banks and other income documents. It’s important that you keep past returns and supporting documents for at least three years.
Reasons Why Your EIP May Be Smaller Than Expected
There are several reasons why your EIP may be lower than expected. For example:
- You haven’t filed your return for 2019, so your Economic Impact Payment is based on past information.
- The qualifying child is under 17 years of age (considering how old they are at the end of the year for the tax return on which the IRS bases the payment amount).
- Your payment was offset by past-due child support payments.
If none of these reasons apply to you and you think the amount of your EIP is wrong, make sure to keep Notice 1444 so you can claim any credits you are eligible for in your 2020 tax return.
Get Assistance From the Experts
Economic Impact Payments are a by the IRS and the Treasury Department to offer financial relief to taxpayers impacted by the coronavirus outbreak. Eligible individuals may receive up to $1,200, while couples filing jointly may get up to $2,400. Additionally, taxpayers may receive an additional $500 for every qualifying child.
The IRS has processed over 159 million Economic Impact Payments. If you haven’t received yours, remember that you can check online the status of your payment. Also, keep in mind that the deadline to file and pay your taxes is July 15, so it’s a good idea to contact a tax expert to get answers to any questions you may have.
Our experts at Delgado’s Insurance will be happy to assist you with all matters related to income tax. Contact us today by telephone (951-361-0084, 909-421-9003), email or through our social media accounts to get a free quote and learn more about our services.