Individuals earning up to $75,000 a year will be eligible for the full $1,200 check. Reduced checks will go out to individuals making up to $99,000 a year (the payment amount falls by $5 for every $100 in income above $75,000).
Married couples are eligible for a $2,400 check as long as their adjusted gross income is under $150,000 a year. Reduced checks, on a sliding scale, will go out to married couples who earn up to $198,000. Married couples also will receive an additional $500 for every child under 17.
People who file as a “head of household” (typically single parents with children) are eligible for a $1,200 check if they earn up to $112,500 a year. Reduced checks on a sliding scale are available for heads of household earning up to $136,500 annually. Heads of household will also receive an additional $500 per child under 17.
If you have already filed a 2019 tax return (that’s the one most people are working on now), the Internal Revenue Service will use the direct deposit information on your 2019 return to send your payment to your bank account. If you don’t provide the IRS with your direct deposit details or you closed that account, then the IRS will mail you a check.
If you have yet to file a 2019 tax return, the IRS will see if you have filed a 2018 tax return and use that information to determine whether you meet the qualifications for a check and to find your bank details or mailing address.
Treasury Secretary Steven Mnuchin has set a goal of getting the first payments out the door by the week of April 6. Many experts say that is an ambitious timetable, and it might get pushed back to later in April. The last time the U.S. government did anything like this, in 2008, the payments went out in batches and it took about eight weeks for the final people to receive their checks.
The IRS has also launched a new online tool called "Get My Payment" allowing for tracking of individual payments through the process and get estimated arrival/deposit dates. Tax payers can track their payment or put in their direct deposit details following the link https://sa.www4.irs.gov/irfof-wmsp/notice
People on Social Security are eligible to receive the coronavirus relief payment as long as their total income does not exceed the limit. Low-income Americans on Social Security do not need to file a tax return. As long as they received an SSA-1099 form (the Social Security benefit statement), the federal government will be able to send them a payment via the usual way they get their Social Security payment. Retirees and people on disability are both eligible for the special payment.
Roughly 125 million people will receive a check, or about 83 percent of tax filers, according to Kyle Pomerleau, a tax expert at the American Enterprise Institute.
The main people excluded from receiving a payment are the wealthy, “nonresident aliens” (i.e., foreigners who do not hold a green card) and “dependents” who can be claimed on someone else’s tax return.
Maybe. President Trump has said he is open to another round of the checks, but only if the economy remains anemic through the spring and an additional boost is warranted.
No, they are not taxable. The only catch is that technically a person’s 2020 income is what qualifies them for the payment. Since no one knows their total 2020 income yet, the government is using tax returns from 2019 and 2018 to figure out who qualifies for a check. It is possible that someone may have to pay back some of the money if his or her income this year turns out to be significantly more than it was in 2019 or 2018. That’s expected to be a relatively small share of people, and the money would not have to be paid back until April 15, 2021.
This is a really tough situation. Unfortunately, these workers are not eligible for $1,200 checks right away. They would get the rebate when they file their 2020 taxes next year. Treasury may create a program to get these people money sooner, but nothing has been announced yet
Yes, you are eligible. IRS announced on 04/10/2020 the opening of their online tool intended for individuals that do not file tax returns to register to receive their Economic Impact Payment. This site can be accessed here: https://www.irs.gov/coronavirus/non-filers-enter-payment-info-here.
The Treasury and IRS are still figuring out a lot of the administrative details. The IRS created a website where more information will eventually be posted. For now, there is no information available beyond what is in the legislation.