will there be another stimulus check for individuals

#Will there be another stimulus check for individuals professional

(You would follow the same rules that applied to the 2022 state payments.).According to the IRS, even if you don’t receive your special state payment for 2022 until 2023, you can still exclude it from your federal income.(These programs provided payments that eligible residents didn’t receive until early 2023.) It's worth noting that the IRS also provided guidance on a specific situation that occurred last year with certain state programs. Spillover 'stimulus' payments from last year

#Will there be another stimulus check for individuals professional

That can be confusing, so if you’re unsure, consult a trusted tax professional before filing your 2023 federal return. (Due to the $10,000 limit on itemized deductions for state income and property taxes, some taxpayers won't need to include the state refund in their income.) But that is only if you deduct the state tax paid.

What if you itemize deductions? If you itemize deductions on your federal income tax return and receive a state tax refund or special payment, the IRS says you might need to include it in your federal income. (Most taxpayers claim the standard deduction.) That is especially relevant for those who opt for the standard deduction on their federal returns.

In most cases, according to the IRS, taxpayers who receive special state payments (one-time refunds, rebates, or other payments) in 2023 won't have to include the payments in their income for federal tax purposes.