Jim Nardello CPA
STIMULUS PAYMENTS MADE TO DECEASED
An issue has arose for some of our clients, so we want to share these instructions for this unique situation. If you received a stimulus payment on behalf of a deceased loved one, that payment was made in error and the IRS is requiring it be returned. According to the IRS, a payment made in error is "A payment made to someone who died before the receipt of the payment." That person's stimulus (or portion of the stimulus received by you) needs to be returned by following the instructions below.
If the payment was a paper check:
Write "Void" in the endorsement section on the back of the check.
Mail the voided Treasury check immediately to the appropriate IRS location listed below.
Don't staple, bend, or paper clip the check.
Include a note stating the reason for returning the check.
If the payment was a paper check and you have cashed it, or if the payment was a direct deposit:
Submit a personal check, money order, etc., immediately to the appropriate IRS location listed below.
Write on the check/money order made payable to “U.S. Treasury” and write 2020EIP, and the taxpayer identification number (social security number, or individual taxpayer identification number) of the recipient of the check.
Include a brief explanation of the reason for returning the EIP.
The mailing address to send this to for Minnesotans is:
Kansas City Refund Inquiry Unit
333 W Pershing Rd
Mail Stop 6800, N-2
Kansas City, MO 64108
If you filed a joint return in the past and qualified for the $2,400 stimulus ($1,200 for you and $1,200 for your spouse) and your spouse passed away before the stimulus payment was made, then you need to return $1,200 to the IRS.
Same example as above, but if your stimulus payment was limited based on your income... If you only received $2,000, then $1,000 would be your spouses portion that needs to be returned.
If you received a $500 stimulus payment for a dependent who passes away before the stimulus payment was made, then that $500 needs to be returned.