Recovery Rebate Credit and other benefits
In 2020, the IRS issued two Economic Impact Payments as part of the economic stimulus efforts. The first payments were up to $1,200 person and $500 per qualifying child. The second payments were up to $600 per eligible person and $600 per qualifying child.
For 2021, eligible taxpayers who did not receive the full amount, can claim it as the Recovery Rebate Credit when they file their 2020 tax return.
Taxpayers also are reminded that unemployment benefits paid by states are taxable income. States should send Forms 1099-G to those who received jobless benefits.