Stimulus checks, unemployment bring up new tax questions

Coronavirus

Tax Day itself isn't the only change people have to think about this year

BOARDMAN, Ohio (WYTV) – April 15 is Tax Day every other year but COVID-19 has changed things this tax season.

The deadline is now July 15 for federal and state taxes.

Andrew Reigstad, the owner of Tax 29, said filers will still face penalties if they miss the new deadline.

The government stimulus checks have started going out and those with banking information on file with the IRS are seeing those deposits.

“They’re able to get their deposit a little bit quicker,” Reigstad said. “If you don’t have a direct deposit on file with the IRS, they may need to wait longer to get that check.”

Reigstad said it may take up to four or five months for some to receive checks by mail.

When you get the money, he said the payments are not taxable.

“In general, stimulus checks like this that have come in the past are not considered taxable income. So it’s just a government payout so it’s not considered a taxable item.”

Others are starting to collect unemployment and Reigstad said those benefits are taxable.

“Many states do not tax unemployment, but Ohio does.”

If you would like to leave or change your banking information with the IRS, you can do so on their website.

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Mel Robbins Main Area Middle

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