The IRS and Treasury are finally making headway on the stimulus checks! Here is what we know:
If you filed a tax return in 2018 or 2019, your stimulus payments are expected to begin distribution next week (around April 13, 2020). The stimulus payment will be based on your last APPROVED tax return. This means that if you filed in 2019, but your return has not yet been accepted and approved by the IRS, your 2018 return will likely be what your stimulus amount will be based on.
To see how much your stimulus payment will be, check your last tax return and compare it to the numbers on the IRS FAQ page under the section titled, "Who is eligible?" https://www.irs.gov/coronavirus/economic-impact-payment-information-center
Those of you on social security/disability or Railroad Retirement will receive your stimulus payment as you normally receive those payments. There is no date yet for when those payments will be distributed.
SSI recipients and veterans that do not normally file a tax return AND receive benefits not from the Social Security Administration can choose to follow the instructions for non-filers (below) or wait to see if the IRS can work with the VA/SSI to get your payment to you as you would normally receive those payments.
The stimulus is being treated as a tax credit. This means that you *shouldn't* have to repay the money, nor pay tax on it. If your tax return for 2020 shows that you earned in excess of the income caps, you may be required to repay the stimulus money that you received. So take a look at your finances and know what to expect next year before you blow through your stimulus payment.
NON-FILERS: If you do not normally have to file, then you still do not have to file. The IRS and Treasury have developed an online tool for you to input your bank account and eligibility information: https://www.irs.gov/coronavirus/non-filers-enter-payment-info-here → You should also use this tool if you are on social security/disability, SSDI, or Railroad Retirement AND have a qualifying child under the age of 17.
If you do have to file, but you did not receive a refund from the IRS on your 2018 or 2019 tax returns, then the IRS does not have your direct deposit information. They are creating tool that is live as of April 15th, 2020, with which you will be able to provide your direct deposit information. The tool will also have a payment tracking feature for you to see when to expect your payment. Access the tool here: https://www.irs.gov/coronavirus/get-my-payment The tool may ask for information from your 2018 or 2019 returns. For help navigating your tax return to find this information, click here. → Some payments may already begin distribution by the time taxpayers have access to this tool, and you will not be able to modify the payment distribution method.
If your address has changed since your last tax return, you can notify the IRS: https://www.irs.gov/taxtopics/tc157
If you have any questions about applying for the Payroll Protection Program, the Economic Injury Disaster Loan for Small Businesses, or about your stimulus payment, send us an email at: PelicanTaxServices@gmail.com
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