Stimulus Check

DEFINITION of 'Stimulus Check'

A check sent to a taxpayer by the U.S. government. Stimulus checks are intended to stimulate the economy by providing consumers with some spending money. When taxpayers spend this money, it will provide a boost to retailers and manufacturers and thus spur the economy.

BREAKING DOWN 'Stimulus Check'

Stimulus checks have been mailed out to taxpayers on several occasions. These checks will vary in amount according to the taxpayer's filing status. Joint taxpayers will receive twice as much as those filing singly. Those who have unpaid back taxes will see their stimulus checks automatically applied to their outstanding balance.

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RELATED FAQS
  1. How do government-issued stimulus checks affect the economy?

    Stimulus checks are payments given to individuals by the government based on taxes paid in the previous year. The hope is ... Read Answer >>
  2. Do stimulus checks work?

    In theory, stimulus checks are intended to increase the amount of capital in the economy. By giving back tax dollars in the ... Read Answer >>
  3. What’s the difference between IRS Forms 1040 and 1040EZ?

    Though very similar, the differences between the 1040 and 1040EZ Forms are significant when it comes to filing your tax return. ... Read Answer >>
  4. How do I know whether to itemize deductions or take the standard deduction?

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  5. When would I need to use IRS Form 1040X when filing my tax return?

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