How COVID-19 Stimulus Payments will Affect Your 2020 Tax Return

Many taxpayers who received stimulus payments in 2020 wonder how it will be treated when the time comes to file their 2020 tax returns, whether they got the correct amount, or why they did not get it in the first place.

Economic Impact Payments or stimulus payments received in 2020 and early 2021 are not taxable income. Keep notices 1444-B you received regarding your stimulus payments with your 2020 tax records, you will need to provide them to your tax preparer. If you did not keep (or have lost) the notices, you will need to request an Account Transcript for 2020 either online through your IRS “Get Transcripts” account or via phone for mail delivery. It may take several weeks to get transcripts in the mail nowadays, however, your tax preparer can help you obtain transcripts much faster.

Anyone who did not receive stimulus payment(s) or their payment was not the correct amount due to reduced income in 2020, a change in marital filing status, or a change in the number of dependents – including those who are not normally required to file a federal tax return – will need to claim it as a recovery rebate credit on their 2020 federal income tax return. Remember, if you can be claimed as a dependent on someone’s return, you are not eligible for stimulus checks or rebate credit, even if you were not claimed as a dependent.

You may be eligible for a recovery rebate credit if you did not receive a second stimulus payment, and you and your spouse file jointly and only one spouse has a valid SSN. Such couples with a non-immigrant status spouse who has an ITIN or no tax ID, were not eligible for the first round of stimulus payments.

You do not need to complete information about the recovery rebate credit on your 2020 federal tax return if you received the maximum amount of benefits as follows:

  • $1,200 plus $500 for each qualifying child you had in 2020 for the first round and $600 for you and $600 for each qualifying child for the second round, or
  • $2,400 for joint filers in 2020 plus $500 for each qualifying child you had in 2020 for the first round and $1,200 plus $600 for each qualifying child for the second round.

     

    If you received a stimulus payment greater than the recovery rebate credit calculated on the 2020 return (due to increased income in 2020, for example), in most cases you still get to keep the original payment. The excess does not need to be repaid to the IRS. Exceptions include death of the taxpayer or a spouse before receipt of the payment, and nonresident alien status in 2020.

    If you did not receive stimulus payments and instead claim recovery rebate credit on your 2020 tax return, and owe money to the IRS, this credit will first offset your 2020 tax liability, and the remainder, if any, will be applied to your prior tax debt. You will not receive a refund, even though economic impact payments were protected from garnishment and federal and state offset programs.

    If you are not sure how to calculate a recovery rebate credit, find a professional tax preparer to help you out.

    Irina Bobrova is an Enrolled Agent who represents taxpayers before the IRS to resolve their IRS problems.

Hindu Heritage Month

In 2003, the Florida House of Representatives designated February as Hindu Heritage Month to honor the Hindu residents of the state that add to its diversity and help better the state by promoting their cultures and traditions, spreading knowledge and culture. The month was selected more due to the fact that many Hindus worship Goddess Saraswati, the goddess of knowledge, wisdom, and learning, in February.

The Hindu culture is both diverse and rich as Hinduism dates back to the Indus Valley over 4,000 years ago, making it the oldest religion in the world. Hindu Heritage Month gives people an opportunity to learn about and appreciate the Hindu culture. The South Florida Hindu Temple in Southwest Ranches in conjunction with other organizations holds events for the public to learn about myths and misconceptions about the Hindu culture, but also to experience the rich culture. However, temples are not the only place to learn about Hindu heritage, as there are programs, classes, and monuments everywhere.

In Davie, you can find Mahatma Gandhi Square, which features a seven-foot tall bronze statue of the man who helped gain India’s independence. Not only is he known for helping with independence, but Hindus focus more on how he accomplished the goal through nonviolence. Hindus practice ahimsa, non-violence, which Gandhi exemplified in a time of great conflict and struggle.

Throughout South Florida, many cultural programs can be found as well. Bharatnatyam, the oldest classical dance in India, serves as a way for many Hindus to express their devotion to god and to tell
stories of their culture through a beautiful dance form. Kathak
dances originated in North India and are known for their storytelling through rhythmic foot movements. There are many traditional music and dance programs that are offered to the public through the Broward arts council that offer a way to learn about this rich aspect of Hindu heritage.

Besides giving the community a chance to learn about another religion and culture, Hindu Heritage Month is an opportunity for Hindus to celebrate and appreciate their heritage in a society that is continuing to move away from traditions as popular culture grows in influence. February gives Hindus a chance to strengthen their ties to their heritage and culture. Fully immersing themselves in Hindu  traditions and celebrations may help them come to accept themselves and their lifestyle. Normally February holds activities like cultural programs, day of service activities, and a time for reflection and learning. I hope that everyone uses this month to learn and appreciate the lives of others and themselves as this diversity is what makes society better for everyone, giving all the opportunity to learn about the world and everyone that inhabits it.

Commissioner Michael Udine (3rd District, Broward County)

Broward County is on the move. Investing in the future, creating sustainable job growth, and working with leading stakeholders to create a strong economy will provide opportunity for all. In the past two months, several new companies have announced they will be moving their headquarters here to Broward County. I am excited to work in partnership with the Greater Fort Lauderdale Alliance to attract even more this year and will work tirelessly through all platforms to make sure everyone knows that Broward County is the place to be!

As Vice-Mayor of Broward County one of my top priorities is to encourage investment in the South Florida region by attracting top level tech and financial companies to call our community home. In collaboration with the Mayors of the City of Miami and Fort Lauderdale, I have been meeting with local officials to see how we can work together to bring investment, and good quality jobs, to our community. Creating a tech corridor with a solid foundation, led by our hometown universities like FAU and NSU, will create strong job growth for years to come.

In January I made a site visit to Port Everglades to see firsthand the dock expansion, and the brand-new gantry cranes that will service the supersized Panamax cargo vessels once the projects are complete. These new cranes, which I saw up close and in person (not for those afraid of heights), will increase our port’s economic potential. In addition, the port is working with Florida Department of Environmental Protection to protect and expand the mangrove habitats on site. This will help keep our water and wildlife healthy for future generations. I was honored to meet several District 3 residents who operate these cranes on a daily basis and learn everything that goes into doing their job for Broward County.

Over the past two months, the brand-new Motorola public safety radio system has come online in Broward County. This replacement was necessary to protect Broward County residents in the event of an emergency. From new towers, to new radios, and interoperability with neighboring counties like Palm Beach, we are focused on providing the fastest service when every second counts. I would like to thank the whole team of Broward County Emergency Management, and all stakeholders, for their steadfast support in getting this done.

It is difficult to find the words when I reflect on the three years that have gone by since the tragedy at MSD on February 14th. Our community has been forever changed by that fateful day. We miss those we have lost, continue to heal with those who are hurting, and fight for changes that will make schools safer and prioritize mental health. To all members of our community: the anniversary of this day will never get easier, but we will get through it together.

My staff and I have made staying connected with the residents of District 3 a top priority. We have been available by phone, answering questions by email, and getting out the most up-to-date and accurate information available. I can be reached as always at MUdine@ Broward.org or at my office at (954) 357-7003.

Follow me on social media @CommissionerMichaelUdine on Facebook and @MichaelUdine on Twitter or Instagram to receive important updates and see what is happening in our community. I look forward to connecting with you.

Commissioner Michael Udine (3rd District, Broward County)

WELCOME 2021! Here we go, and we are off and running! We are all excited to welcome the new year and all its possibilities. From the rollout of a vaccine, to getting back to business, and eventually getting our lives back to some normalcy in 2021. Personally, I am looking forward to seeing more friends and neighbors in District 3 whenever it becomes possible. We have come through the challenges of 2020, and we are now ready to roll as Broward moves into the future.

Titans of the investment world are taking the opportunity to make the jump to South Florida. Goldman Sachs, Black Rock, and others have started making significant investments by moving departments or even potential headquarters to our neck of the woods. These moves are long term positives for Broward that will bring a variety of jobs and investments to our community. Companies, if you are listening, why wouldn’t you want to be in Broward? The sun, surf, and life with less taxing await your arrival!

Broward County is nearing completion on the switch over to the new P25 radio system that will serve our residents and visitors. The towers and radio systems, backed by Motorola, provide additional capacity, and improve our communication ability during a crisis. Feedback from first responders utilizing the system has been overwhelmingly positive. I have been a strong advocate for this critical public safety system and have worked with all stakeholders to make it a reality.

I have been in discussion with the Broward County Cultural Divisionto push for  more financial support to eligible artists and non-profit organizations in District 3.

Recently, the Division has restructured its grant programs to create a more accessible, transparent, and equitable process. Grant programs support individual artists and organizations throughout Broward County. If you or your organization is interested in participating, please visit Broward. org/arts for more information, or call my office at 954-357-7003. Deadlines are approaching soon!

Martin Luther King Jr. Day is January 18th. This past year has seen many events that have made us question whether our country has made any progress towards his dream. I believe that while we have made significant changes, we still have a long way to go. We need to listen more carefully to each other and put ourselves in our neighbor’s shoes. While we honor Dr. King on January 18th, we must take the principles that he advocated for, and have them be our north star every day.

My staff and I have made staying connected with the residents of District 3 a top priority. We have been available by phone, answering questions by email, and getting out the most up to date and accurate information available.

As always, I can be reached at MUdine@Broward.org or my office at (954) 357 7003.

Follow me on social media @CommissionerMichaelUdine on Facebook and @MichaelUdine on Twitter or Instagram to receive important updates and see what is happening in our community. I look forward to connecting with you.

Mental health hotline mandated

Awareness of mental health challenges has been increasing at the local, state, and national levels. Efforts focus on ensuring folks who need to talk to someone during a mental health emergency can access the help they need.

Nationally, on Oct 17th, President Trump signed a bipartisan bill (S.2661) to create a new national hotline. The FCC already allocated 988 as the number, to replace a 10-digit phone number for the National Suicide Prevention Lifeline (NSPL). The new law also created a fee that a state may levy to support the hotline, similar to how the current 911 system works.

The bill mandates a July 16th, 2022 deadline for phone companies to enable the new service. Meanwhile, there are existing resources people have access to, including Broward County’s 2-1-1 Broward https://2-1-1-broward.org.

2-1-1 Broward has been a local non- profit resource for people who need to talk to someone since it was founded in 1995. Their mission statement is to provide a “24-hour comprehensive helpline, providing all people with crisis, health, and human services support and connecting them to resources in our community.”

For the past 6 years, 2-1-1 Broward has averaged 116,000 incoming calls a year. Since April 2020, 2-1-1 Broward has seen a steady increase of calls, up 82 percent in September.

The most common calls are related to COVID-19 services, basic needs (food, clothing), hospitalization, financial, and mental health services.

According to 2-1-1 Broward, some of the callers simply need listening support to de-escalate their situation.

The non- profit organization provides referrals to other professionals such as counseling, telehealth, crisis centers, support groups, family counseling, trauma-informed care, etc.

Due to COVID-19, 2-1-1 Broward has evolved to continue to service the community. The call center is fully remote for the safety of their workers. The resource database has been expanded to cover COVID-19 related responses. Additional staff is trained and hired to provide for Broward residents.

2-1-1 Broward is also nationally affiliated with Lifeline, which operates the national 1-800-273-TALK (8255). Calls from Broward to the national hotline are routed to 2-1-1 Broward. They also participate in many national programs, such as the Ride United Last-Mile Delivery program where, since April 2020, over 75,000 meals have been delivered across Broward County. The program aims to deliver food and supplies to vulnerable populations as a response to COVID-19.

You can find out more at their website: https://2-1-1-broward.org.