Will the stimulus check be deducted from the 2020 refund?

[Ephesians3-14]

A client emailed me this today: "This stimulus payment is not a prepayment for next year, is it?"

Someone told me it's a pre-payment on next year's taxes. Does that mean $2400 would come off what the IRS would refund for 2020 tax year?

To be clear for myself, if I was expecting a refund of $3400 for 2020 tax year, would I only receive a $1000 refund because of the $2,400 stimulus check we received?

[Just-Lisa-Now-]

If you didnt get the stimulus check during 2020, then you'll get the credit on the 2020 tax return. 

If you got too much, as far as Ive read, it does not look like you have to pay it back.

[Ephesians3-14]

Soooooo...the answer to my question is....?

Would I get my $3,400 refund....or get the $3,400 LESS the $2,400?

[Just-Lisa-Now-]

What is that $3400 refund your expecting for 2020? 

The stimulus has nothing to do with your regular tax refund.

[Ephesians3-14]

OK, let's assume I was going to get back $6,000 in 2020 as a normal refund. I'll restate my question....

Will I only get back $3,600 ($6,000 less the $2,400 stimulus check) since I already received the $2,400 stimulus check. 

[IRonMaN · Accepted solution]

There will be a new credit showing on the return next year.  For a family with two kids, the family will get a credit of $3400.  If they got the check during the year, the credit will disappear.  If they didn't get a check, they will get an additional credit of $3400 on their return to add to their normal refund.

[Just-Lisa-Now-]

^^^^ This

Your regular refund (from withholding or refundable credits) has nothing to do with the stimulus money.

[BobKamman]

You will get your $6,000.

The $2,400 will have nothing to do with it. 

The tax return will have three new lines:

A)  Figure your credit based on 2020 income and qualifying children.

B)  How much "advance" credit have you already received?

C)  Subtract B from A and enter the result,  but not less than zero.  If it's more than zero, it gets added to the refund you already have.  

Some people will get more "rebate" credit on their 2020 return because their income was over the 75K/150K limit in 2019, but not in 2020.  Or because they have more kids in 2020 than in 2019.  But no one will have to pay back the credit if the 2020 amount is less than the 2019 "advance."