The Stimulus Check has begun processing the next round of third-round Economic Impact Payments. Millions of low-income households can expect a new check worth up to $1,400 for themselves and each qualifying dependent in their household. The IRS also issued supplemental payments to people who earlier received EIP checks based on their 2019 tax returns and are now eligible for a larger payment based on their recently processed 2020 tax return.

This week, millions of people will see their Economic Impact Payment in their bank accounts as a direct deposit or receive a paper check or prepaid debit card known as an EIP Card in the mail. Taxpayers should watch their mail in the coming weeks to make sure they receive their payments. If they have direct deposit, they may want to check their online account to make sure they have the correct information on file with the IRS. The IRS will use the information on file to get a person’s most recent federal records, including income, tax refund or debt paid and bank account details.

Financial Boost: How IRS Refund Stimulus Checks Can Impact You

A few states allow garnishment of a person’s Economic Impact Payment, but many states do not. In some cases, the stimulus payment may indirectly affect state income taxes by increasing how much federal taxes are deducted from a person’s total federal income. That is why some consumer and banking groups are calling on Congress to pass a standalone bill that would exempt the stimulus payment from garnishment.