Millions of Americans are currently waiting for their coins from the government. Yea, that stimulus check that has been approved is on the minds of all of us. Whether we are sitting back, waiting for a deposit or still trying to figure out if we are eligible for the funds, the conversation is about one thing, money.
Unlike the reliable tracker for tax refunds, no additional resources are available for the stimulus checks.
To receive a stimulus check, you need to have filed a tax return for 2018 or 2019. For Senior citizens or Social Security recipients, you will not need to file one to receive the payout.
For now, we know that the first economic payouts of the two trillion-dollar stimulus package are expected to go to all eligible U.S. Taxpayers starting April 13th. These funds are one-time payments are Trump approved as of last month.
The intention of this stimulus is to help curve the economic fallout imposed on us by the COVID-19 outbreak. According to Treasury Secretary, Steven Mnuchin, says the first stimulus payments are going out to those who have their IRS refund direct deposited to their account.
The second round of the stimulus money will be mailed out by the IRS to your registered address on file. You may be able to have your check deposited into your bank account, through an online tool to set up electronic payments on the IRS website.
What You Can Expect to Receive:
- A single, U.S. citizen making under $75,000 year: $1,200 payout, plus $500 per child
- Married couples: $2,400, $500 per child
- Amount of payout will go down as income increases
- If you bring in $99,000 or more, you will not be eligible for the stimulus payout
There are a lot of questions and confusion surroundings these stimulus payments. In hopes to help clear up some of that Forbes answered some pressing questions.
Many people asked if their refund for the year 2020 will be in jeopardy because of this “advance refund,” and the answer is no. According to Forbes, your 2020 tax return and any refund you’re due when you file that return in early 2021 will not be affected by the check you’re getting now.
There will also be no double dipping, if you recieve the full stimulus payment now, you will not get it again.
Another pressing question is whether or not these funds will be taxable. And the answer is again, no, the stimulus checks are nontaxable. They won’t be included in your 2020 income. You should also be aware that these payouts will not be a factor to potentially move you into the next tax bracket for 2020.
If your income for the year rises above the set standards, you will not have to pay any money back. For example, a single person who made $70,000 in 2019 qualifies for the full $1,200 stimulus payout. Now if this year, that same person makes $80,000, they now qualify for a lower payout. However, they will not need to pay back the difference.
On the other side of that, if in 2019 your income was too high and you do not qualify for a stimulus check but in 2020, your income declines, you will then be eligible to receive any stimulus credit you did not get originally. In this scenario, you would get your corrected stimulus after filing your 2020 return.
To sum it all up and clear up any remaining confusion, no one will have to pay back the IRS extra money next year because of the stimulus check going out now.