Taxpayers have many questions regarding Economic Impact Payments (EIPs) and the IRS is answering some of them in FAQs on its website. Specifically, individuals are wondering whether an EIP is considered taxable income. The IRS said it’s not, and taxpayers won’t owe tax on it. In addition, the payment won’t reduce taxpayers’ refunds or increase the amount they owe when they file their 2020 tax returns next year. An EIP also won’t affect income for purposes of determining eligibility for federal government assistance or benefit programs. For more information: Call or visit our website for more information!