The news media, social media and family conversations are buzzing about the Economic Impact Payments. Who gets one? How much will I get? When will the check arrive? Do I need to let the IRS know that I have moved? These are some of the commonly asked questions.
Some refer to these payments as “stimulus checks.” The IRS.gov site will reference these payments as “Economic Impact Payments.” The bottom-line answers can be found on the IRS.gov website. Let’s look at a few commonly asked questions:
Who will receive an Economic Impact Payment?
According to the IRS.gov website, if you filed a tax return as an individual with an adjusted gross income up to $75,000, you are eligible for the full payment amount. If you filed a tax return, as a married couple filing a joint return, with an adjusted income up to $150,000, you are eligible for the full payment amount.
How much will I receive?
The Economic Impact Payment caps at $1,200 for individuals and $2,400 for married couples and up to $500 for each child that qualifies as a dependent. The IRS will determine your payment amount and will send the payment to eligible persons.
If your adjusted income is above these amounts, the Economic Impact Payment will be reduced by $5 for each $100 of income above the $75,000 and $150,000 levels. There is an income limit of $99,000 for individuals filing as single and $198,000 for those filing a joint tax return. Those filers with income at or above this level, and with no qualifying children, are not eligible for a payment.
Will I receive a “check?”
If you filed a 2019 tax return, the IRS will use the information from that return to calculate your payment. If you have not filed a tax return for 2019, the IRS will use your 2018 tax return to calculate your payment amount. The IRS will use the bank account information from the your most recent tax return (2019 or 2018) to deposit your payment into your account. Most tax filers will not receive a paper check, but they will receive a direct deposit into their account.
I am not required to file a tax return; will I receive a payment?
If you are a senior citizen, a Social Security recipient or railroad retiree and did not file a tax return in 2019 or 2018, the IRS will use the information on your SSA-1099 or RRB-1099 to determine your Economic Impact Payment.
Individuals that are not required to file a tax return should check the IRS.gov tool titled, “Do I Need to File a Tax Return” to verify they do not need to file a return. This site will also help you determine if you are eligible for an Economic Impact Payment.
If you are an eligible citizen or permanent resident that is not required to file a tax return, you may be eligible to receive an Economic Impact Payment if your gross income was $12,200 or less for an individual or $24,400 or less for a married couple. Visit the IRS.gov website and complete the Non-fliers: Enter Payment Info fillable form.
Where will the IRS send my payment? I do not have an account on file with them!
If you are not required to file a tax return, you may provide information to the IRS that will help them to determine your eligibility and to provide electronic banking information in a free, fillable form. The details are available at https://www.irs.gov/coronavirus/non-filers-enter-payment-info-here.
I moved! How do I notify the IRS?
If you moved since you filed your last tax return and need to update your address information to receive a printed check, visit this site: https://www.irs.gov/taxtopics/tc157. There are options listed that include notifying the IRS of your address change by completing form 8822, providing the information by a written letter, and contacting the IRS by phone to request a change-of-address form. Remember, because of staff reduction due to the coronavirus, the wait times for phone call assistance may be lengthy.
Do I need to file my 2019 tax return soon?
If you are required to complete a tax return, the deadline has been extended to July 15, 2020. However, it is beneficial to you to file your 2019 tax return as soon as possible to include current direct deposit banking information is available to the IRS to receive your Economic Impact Payment, if you are eligible.
When will I receive my payment?
According to the IRS.gov website, the Economic Impact Payments will be released beginning in mid-April. The first recipients will be those with direct deposit information listed with the IRS. Individuals and couples that do not have bank account information listed with the IRS will receive a paper check mailed to your last identified address. There will be a “Get my payment” application available in mid-April on the IRS.gov site that will allow individuals and couples to provide banking information for electronic deposit in lieu of a paper check. Due to processing time, paper check recipients will have a longer delay in receiving their payment.
For more information, including forms to update your address and to watch for the updated “Get my payment” link, visit the IRS.gov Coronavirus site: https://www.irs.gov/coronavirus-tax-relief-and-economic-impact-payments.
Be aware of potential fraud. The IRS will NOT contact you on social media. They will NOT call or text you by phone to ask for your personal information or banking information. Emails with attachments or links that promise information about your Economic Impact Payment or tax refund could be an identity-theft scheme.
Beth Kerr serves Hamilton County as the UF/IFAS4-H and Family & Consumer Science Agent. She is available by emailing email@example.com or calling the UF/IFAS Hamilton County Extension Office at 386-792-1276. UF/IFAS Hamilton County Extension Office is an equal opportunity institution.