This year the IRS sent a stimulus check to every qualifying American that amounted to $1,200, with the addition of $500 for every child. The talk of a second round of stimulus checks has been buzzing around since the summer with no set dates or certainty when they will be decided on, or when they will be distributed. While this money has been an aid for many Americans, it comes with a lot of questions. A question on many people’s minds is, “Do I have to claim my stimulus check on my taxes?”
Under the Cares Act, the stimulus checks Americans have received will be treated as a fully refundable tax credit for 2020. This means you will not have to include the money you receive in your gross income, so it will not be taxed by the government. However, the stimulus check is considered an advance on your 2020 tax credit, which means you will be required to report the stimulus when you do file your taxes for the year.
While the term, “refundable credit,” has caused widespread upset online, it is important to note that your 2020 tax return and any refund you’re due when you file that return in early 2021 will not be impacted by the stimulus check you have received.
Federal Relief Aid in Fort Worth, TX
COVID-19 has led to the shutdown of many businesses, some on a temporary basis, and sadly others will never reopen due to the financial devastation this pandemic has caused them. Our dedicated financial team offers services to ensure business owners are utilizing every available resource to them during this difficult time.
We will work with your business to find and apply for all financial assistance you may qualify for through the government as well as help you properly file taxes for 2020. This has been an extremely trying time for all of us and should not be made any worse by trying to navigate the complex financial climate on your own. Contact King Financial Services today to learn more about how we can help your company apply for a federal disaster loan and how to ensure you are getting all the tax breaks you qualify for.
King Financial Services in Fort Worth
Don’t get lost in the paperwork that comes along with running a business, instead reach out to King Financial Services. Our team of financial professionals understands how overwhelming it can be to you and your staff to keep up with additional tasks and record keeping. This is why we help eliminate the workload that comes with bookkeeping in house by managing all of the additional responsibilities, such as payroll and bookkeeping. Contact us today to learn more about the tax and financial services we offer. Sandra King is an enrolled agent, empowered by The United States Treasury to prepare your personal or business tax filing. While her services are offered nationwide, Sandra King locally serves the greater Dallas-Fort Worth area, including but not limited to Arlington, Bedford, Colleyville, Euless, Fort Worth, Grand Prairie, Hurst, Mansfield, North Richland Hills, and Richland Hills.
King Financial Services Inc
610 S Industrial Blvd. Suite 140
Euless, TX 76040
Phone: (800) 503-1343