Updated: Apr 14
Q & A RELATED TO THE COVID-19 STIMULUS CHECK
Who is eligible for the economic impact payment?
Individuals (tax filers) with adjusted gross income up to $75,000 and married couples filing joint with adjusted gross incomes up to $150,000 will receive the full payment. For tax filers with income above those amounts, the payment amount is reduced by $5 for each $100 above the $75,000/$150,000 thresholds. Single filers with income exceeding $99,000 and $198,000 for joint filers with no children are not eligible.
If you filed either 2019 or 2018 tax return you will automatically receive an economic impact payment of up to $1,200 for individuals or $2,400 for married couples. If you have qualifying children under 17, you will receive $500 for each qualifying child under 17.
How much will I get?
See Stimulus payment calculator (https://www.efile.com/covid-19/tax-calculator/ )
How will the IRS know where to send my payment?
The vast majority of people do not need to take any action. The IRS will calculate and automatically send the economic impact payment to those eligible.
For people who have already filed their 2019 tax returns, the IRS will use this information to calculate the payment amount. For those who have not yet filed their return for 2019, the IRS will use information from their 2018 tax filing to calculate the payment. The economic impact payment will be deposited directly into the same banking account reflected on the return filed.
What if the IRS doesn't have my direct deposit information?
For people who had a check printed by their tax preparer, a check mailed directly to them for 2018 or 2019, or funds put on a Walmart Card the IRS will mail your payment to the last known address.
What if I am not typically required to file a tax return. Can I still receive my payment?
Yes. To help millions of people, the Treasury Department and the IRS launched a new web tool allowing quick registration for Economic Impact Payments for those who don’t normally file a tax return.
What if I have not filed my tax return for 2018 or 2019. Can I still receive an economic impact payment?
Yes. The IRS urges anyone with a tax filing obligation who has not yet filed a tax return for 2018 or 2019 to file as soon as they can to receive an economic impact payment. Taxpayers should include direct deposit banking information on the return.
How long are the economic impact payments available?
The economic impact payments will be available throughout the rest of 2020.
Do I have to pay the stimulus money back?
No. The stimulus payment is not considered income and should not be added to income when you file your 2020 tax return.
Updated 4/13/2020, this information is based on Stephanie Falls-Warr understanding of the CARES ACT and information from www.irs.gov/newsroom/economic-impact-payments-what-you-need-to-know. This information is subject to change as the situation is fluid, please check the IRS.gov for the most accurate and updated information.
Contact Falls Accounting at www.fallsaccounting.com if you need your tax return prepared. Ask about our Covid-19 Discount!!
By: Stephanie Falls-Warr