Millions of Americans eagerly await their second $ 600 stimulus checks for every eligible adult and child. The IRS said Tuesday that the checks began to be distributed via direct deposit that evening, a process that will last until next week.
The tax agency added that on December 30, it was sending paper checks to people who did not have their bank account information with the IRS. Yet, the timeline leaves many wondering when exactly the check will end up in their accounts – especially since the IRS’s website for checking payment status is not available.
The second stimulus test follows a rocky rollout this spring for more than 160 million stimulus payments targeted by the Coronavirus Aid, Relief and Economic Security Act (CARES). The relief effort, which targeted $ 1,200 for each eligible adult and $ 500 for each eligible child, encountered a number of problems, such as a delay in payment to people who did not submit their bank account information to the IRS, as was the case with some Social Security recipients.
The IRS will use the same method to get the money from people as in the first round, said Mark Steber, chief tax officer of Jackson Hewitt.
“If taxpayers received a direct deposit, they would do it again; if they then received a check or debit card by mail, they would do it again,” he said.
But the IRS website “Get My Payment” is currently offline. The agency said it would expect its “Get My Payment” tool to work again in a few days, although it did not set a date.
This is a problem, although the site would be next week, based on the IRS statement, Steber noted. “The updated website should contain information on first and second stimulus payments,” he said.
That website allowed people in the spring to provide or update their bank account data to the IRS. It also notified people when their checks would end up in their accounts. But it also had flaws. Some people have reported that they error messages such as “Payment status not available”, while others are locked out of the site.
“Payments are automatic”
On Dec. 29, the IRS said “payments are automatic” for people who filed a 2019 tax return, as well as for people who receive Social Security benefits, railroad retirement benefits or supplementary security income, and veteran matters that are not a tax return .
The IRS added that people who used the Non-Filers tool successfully on November 21 – a website created to make sure that people who would not normally file tax returns would receive a payment – would receive their second stimulus checks automatically .
Steber says the payments are not taxed because they are not considered earnings. But, he added, “taxpayers should keep their 1444 notice from the IRS, which shows the exact amount they received, to reconcile their payments so they can receive any additional amount on their 2020 tax return.”
How much will I get?
The IRS sends $ 600 to each eligible adult and child – not the $ 2000 that is not was pushed by President Donald Trump.
Senate Majority Leader Mitch McConnell on Tuesday blocked an attempt to vote on the $ 2,000 stimulus checks approved by the House, but raised higher payments in a new bill that would put other items on Mr. Trump’s wish list includes, including the repeal of Article 230, which protects social media companies from lawsuits.
Although the stimulus checks are unlikely to hamper up to $ 2,000, the Treasury has said it will be able to handle the possibility. “If additional legislation is introduced to provide for an increased amount, the payments on the economic impact issued will be replenished as soon as possible,” according to a statement from the Treasury on December 29.
The second round of payments is $ 600 for single people earning up to $ 75,000 and $ 1,200 for married couples earning up to $ 150,000.
The amount then drops for people earning above the thresholds, and is gradually dismantled for singles earning more than $ 87,000 and married couples earning more than $ 174,000. Children under the age of 17 receive $ 600 each. Children who are 17 are not eligible, as are adult dependents, such as college students and some disabled people who are claimed to be dependent on their family members’ tax returns.
More people are eligible for the second round of stimulus tests than in the first, the IRS added.
“Under the earlier CARES Act, joint return of couples where only one member of the couple had a Social Security number was usually not eligible for payment – unless they were a member of the military,” the IRS noted. “But this month’s new law changes and expands the provision.”
Under the new enlightenment bill, the U.S. government will allow households of U.S. citizens with undocumented family members with mixed status to receive incentives to be denied in the spring under the first round of legislation, and which unleashed several lawsuits.