FAQs on Tax Returns and the Coronavirus

Do I need to file a 2020 tax return to receive a stimulus check?

Not necessarily. If the IRS does not have a 2020 tax return, it will base your eligibility for the third stimulus check on your 2019 tax return.

Those who have not gotten their earlier stimulus payment and are eligible will have to file a 2020 income tax return to get a Recovery Rebate Credit. Unlike a tax deduction, which reduces your taxable income (and therefore your tax payment), a tax credit reduces the amount of tax you owe, dollar for dollar. Even better, and unlike most credits, the Recovery Rebate Credit will give you money back even if it's more than the tax you owe or paid. For example, if you owe $700 in federal income taxes for 2020, a $1,200 stimulus tax credit would net you a $500 tax refund.

You need to file federal tax form 1040 or 1040-SR for 2020 to claim your Recovery Rebate Credit. You'll also need your IRS Notice 1444, the letter the IRS should have sent to you a few days after you got your first stimulus check, and IRS Notice 1444-B, which you would have gotten after your second stimulus check. If you didn't get a stimulus check, you don't need either notice.

Would my stimulus check payment be considered taxable income?

No.

Will my tax refund be delayed by the coronavirus?

The Internal Revenue Service is open and processing mail, tax returns, payments, refunds and correspondence. However, COVID-19 continues to cause delays in some services, including processing paper returns. If you file a complete and accurate paper tax return, your refund should be issued in about six to eight weeks from the date the IRS receives your return. If you file your return electronically, your refund should be issued in less than three weeks, even faster when you choose direct deposit. The average refund was $2,741 in 2020.

You can track the progress of your refund with the Where's My Refund? tool operated by the IRS. You'll need your Social Security number, tax status and exact amount of your refund to use the tool.

Has the outbreak affected the deadlines for filing and paying 2020 federal income taxes?

Yes. In 2020, the IRS moved the tax filing deadline to July 15 from April 15. In 2021, however, the deadline is May 17. If you owe taxes and miss the deadline, the IRS will charge you both interest and penalties.

If you think you can’t make the May 17 filing deadline, you can get an automatic extension to Oct. 15 by filing IRS Form 4868. If you do file form 4868, you’ll still have to pay taxes due by May 17.