Stimulus Check: Updated April 8th, 2020 at 8:00 AMThis is a developing story. Stay with igotmyrefund.com and it will be updated as more information is published about the 2020 Economic Income Payment (EIP) stimulus check. Updates in green below.
We have everything you need to know below and an active comments sections at the bottom of our page for your questions.
A 2020 stimulus check is likely to be coming your way soon if you meet certain requirements. It is an early refundable tax credit for 2020 called the Economic Income Payment (EIP).
An aid package has been agreed upon by Congress which includes many Americans receiving a stimulus check to combat an impending recession caused by COVID-19. The goal of the stimulus check is to stimulate the economy and help Americans through this crisis. A 2020 stimulus check is likely to be coming your way soon if you meet certain requirements. There were various proposals with different amounts put forth between the White House and Congress. You likely have seen different amount circulated (see updates below) but they have struck a deal in the early morning hours of March 25th, 2020.
MOST RECENT UPDATE 4/8/20 8:00AM: There is word out that people may start receiving direct deposits on 4/9 or beginning 4/13. Some people have reported seeing a .01 test deposit in their accounts. We are watching for any transcript activity so you will be the first to know when deposits start rolling out.
PRIOR UPDATES AND PROPOSED AMOUNT OF STIMULUS CHECK:
UPDATE 3/30/20 8:15AM: In the coming weeks, the Treasury will develop a website for people who need to provide their banking information online so that individuals can receive their payments immediately as opposed to checks in the mail. New IRS Q&A here.
UPDATE 3/27/20 1:30PM: The bill passed the House. Off to the White House it will go next.
UPDATE: 3/26/20 7:15AM: The bill passed the Senate overnight. The House is scheduled to vote on Friday.
UPDATE: 3/25/20 8:15AM: Help is on the way! Virus checks coming soon! A deal has been reached on the largest rescue package in American history. The bill is expected to pass today. A stimulus check is expected for individuals of $1,200 each for those with income up to $75,000 and $2,400 for couples with income up to $150,000. And, there is a benefit of $500 for each child up to 3. The amount of the payments will start to phase out for those with income over the limit at rate of $5 for every additional $100 in income.
UPDATE: 3/24/20 9:20AM: They say they are close to a deal! House proposed plan, here (starts on page 1090) is $1500 payments for individuals and $3000 for couples with both phasing out at a higher income levels. Also the house proposed an additional $1500 for each dependent up to 3.
UPDATE: 3/23/20 7:30AM: No deal! On Sunday, details of the proposed plan, here (pages 35-40) were still being disputed amongst Congressional parties. The procedural vote failed and we are left tuned in to see what they do next
UPDATE: 3/22/20 10:30AM: A procedural vote is scheduled today with some details still not worked. The stimulus check element of the coronavirus relief plan draft seems to remain at $1200 payments for individuals and for couples with both phasing out at a higher income levels. However, $3000 per individual is also being touted as of this morning.
UPDATE: 3/20/20 6:20AM: Senate Republicans set forth a proposal for $1200 payments for individuals. This will still need all parties to agree.
UPDATE: 3/19/20 5:30AM: The legislation passed yesterday was NOT the stimulus package that includes a stimulus check to be sent. It is a DIFFERENT bill that provides other types of aid to businesses and funding to other agencies. We anticipate the next package which INCLUDES stimulus checks to be approved soon and will continue to update this post. The latest proposal included stimulus payments to recipients of SSDI and SSI.
UPDATE: 3/18/20 11:29am: The latest spending plan proposal from the White House is two equal amounts begining April 6 and then again on May 18. Payment amounts would be fixed and tiered based on income level and family size.
The amount of the stimulus check for individuals is $1,200 and $2,400 for couples filing jointly. There is also a benefit of $500 for each dependent child up to 3. The amount will phase out at a rate of $5 per $100 of income for those above the income cap (see below). There is a TurboTax calculator here to help those determine the amount you will receive if you exceed the income limit.
- Adult individuals who filed a tax return and recipients of some social security programs.
- There is an income limit. The amount will start to phase out at incomes above $75,000 for adult individuals, $112,500 for heads of household and $150,000 for couples filing jointly.
- You need to have filed a 2019 tax return (even if you weren’t required to for income tax purposes) or a 2018 tax return if you haven’t filed your 2019 return.
The Department of Treasury will hopefully start sending out checks or direct deposits to qualified households soon.
- The word on the streets is that direct deposits of the 2020 Economic Income Payment (EIP) will start on either April 9th or April 13th.
- On March 18th, the Trump Administration suggested they would like to have the 2020 Stimulus Checks start within 2 weeks.
- Looking to the past: In 2008, the bill was passed on February 13th and people starting seeing direct deposits roll in around April 28th 2008. (That’s 75 days from the time the bill was signed by President Bush)
Will a check be mailed or will there be a direct deposit?
The data on file with the IRS, or in some cases the Social Security Administration, will be used to process payments of the stimulus.
Checks: When a stimulus check is sent, the address used will be the address listed on your 2019 tax return, or on the 2018 tax return if you haven’t filed yet.
Here is how to update your address with the IRS: Update address with IRS.
The Treasury Department plans to setup a web-based portal to provide banking information to the IRS so that you can receive direct payments instead of a mailed check. We will update you here as soon as it is published.
Direct Deposit: Another method of payment used for stimulus payments is direct deposit for some individuals. If you used direct deposit for your tax refund, then you could receive the stimulus payment the same way, except if:
- You took out a refund anticipation loan
- Used a 3rd party service like TurboTax and had the fees taken out of your refund amount.
- Had your refund deposited into 2 accounts.
In those cases, a paper check is typically sent through U.S. Mail to the address on your tax return.
However, if you don’t want to wait on a paper check, the Treasury Department plans to setup a web-based portal to provide banking information to the IRS. We will post here as soon as that is published.
What if I have prior tax debt or student loans?
The 2020 Stimulus Check will not be subject to federal offsets for prior tax debt or student loans. However, an administrative offset will still be enforced for those who have past due child support payments that the states have reported to the Treasury Department.
What if I had little or no income in 2019?
Any year you have minimal or no income, you may be able to skip your tax return. However, it is a good idea to establish if your income qualifies you for a stimulus payment. It is perfectly legal to file a tax return showing zero or little income, and this might be a good idea to ensure you qualify. We think it may be worthwhile.
Bottom line, you can still qualify for the “Economic Income Payment (EIP)”. TurboTax has setup a way to file easily. Look for the register button near the bottom of this TurboTax page.
What if I am on Social Security or SSDI (disability)?
No tax return is required, for those on Social Security or SSDI. The data from the Social Security Administration will be used to make the payment the same way you receive your benefits.
Where can I find more information?
This is still a developing story. Stay here at igotmyrefund.com and we will update the information about the 2020 stimulus check as it becomes available.
Q&A about the 2020 Stimulus Payment
We can’t stress enough, at igotmyrefund.com, we hold the belief that the best way to predict the future is to look to the past. Although the coronavirus is a very unique situation, a stimulus payment to Americans is not something new. The income limits and amount of the stimulus checks are higher, but there are similar features to the stimulus program in 2008. Q&A about the prior stimulus payment process is here Economic Stimulus Payment Q&As: Offsets, Taxpayers Outside the U.S. and More It is an archival or historical document and does not necessarily reflect current law, policies or procedures.
RELATED: Got a call about claiming your COVID-19 stimulus check? It’s a scam! You will NOT get a phone call about a stimulus payment. Do NOT give out your personal information. Stay here for updates on the 2020 Stimulus Payment…we will make sure you get the accurate information you need.
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