Economic Impact Payments belong to the recipient, not nursing homes or care facilities.
The Internal Revenue Service today alerted nursing homes and other care facilities that Economic Impact Payments (EIP’s) generally belong to the receipts, not the organization providing the care.
The IRS issued this reminder following concerns that people and businesses may be taking advantage of vulnerable populations who receive the Economic Impact Payments.
The payments are intended for the receipts, even if a nursing home or other facility or provider receives the person’s payment, either directly or indirectly by direct deposit or check.
These payments do not count as a resource for purposes of determining eligibility for Medicaid and other federal programs for a period of 12 months from receipt. They also do not count as income in determining eligibility for these programs.
The IRS also noted the Economic Impact Payments do not count as resources that have to be turned over by benefit receipts, such as residents of nursing homes whose care is provided for by Medicaid.