As the COVID-19 situation continues to sweep across the entire globe, millions of Americans are not only worried about their physical and mental health, but they’re also concerned about job and wage loss. Amid the economic downturn, President Trump signed the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which provides stimulus checks to Americans and relief for small businesses and mortgage/ and rent payments. The $2 trillion Covid-19 stimulus bill, signed March 27, is the largest emergency aid package in US history.
To help you know what to expect, here’s a breakdown of how much money you might get, when you can expect to receive your payment, and tax relief.
Coronavirus Stimulus: How Much Will I Get?
American taxpayers will receive an economic impact payment that’s based on their income and filing status on their 2019 tax return. If you haven’t filed your 2019 taxes yet, don’t worry. Your 2018 return will be used to determine your payment amount.
Single or married filing separately
If your 2019 adjusted gross income is $75,000 or less, you’ll receive $1,200. Your payment will also include $500 for each qualifying child under the age of 17 you claim as a dependent. If your adjusted gross income exceeds $75,000, you’ll receive an amount that shrinks by $5 for every $100 in income. If you don’t claim any children under the age of 17 and your adjusted gross income exceeds $99,000, you won’t receive a stimulus payment.
Head of household
If your 2019 adjusted gross income is $112,500 or less, you’ll receive $1,200. Your payment will also include $500 for each qualifying child under the age of 17 you claim as a dependent. If your adjusted gross income exceeds $112,500, you’ll receive an amount that shrinks by $5 for every $100 in income. If you don’t claim any children under the age of 17 and your adjusted gross income exceeds $136,500, you won’t receive a payment.
Married filing jointly
If your 2019 adjusted gross income is $150,000 or less, you’ll receive $2,400. Your payment will also include $500 for each qualifying child under the age of 17 you claim as a dependent. If your adjusted gross income exceeds $150,000, you’ll receive an amount that shrinks by $5 for every $100 in income. If your adjusted gross income exceeds $198,000 and you don’t claim any children under the age of 17, you won’t receive a stimulus payment.
When Can I Expect to Receive my Stimulus Payment?
The House Ways and Means Committee released a memo detailing the stimulus check distribution. Here’s how it works.
Direct Deposits: On April 11th, the IRS tweeted the following announcement:
“IRS deposited the first Economic Impact Payments into taxpayers’ bank accounts today. We know many people are anxious to get their payments; we’ll continue issuing them as fast as we can.”
Roughly 60 million payments were distributed via direct deposit. If you filed a 2018 or 2019 tax return and got a tax refund, the money was sent to the same account where you received your refund.
Paper Checks: Beginning the week of April 20th, the IRS began issuing paper checks to taxpayers who have not provided direct deposit information. According to the IRS, it could take up to 20 weeks for each qualifying American to receive their check. If the bank account changed since your last tax refund, your stimulus payment will be sent via paper check.
How to Track the Status of Your Stimulus Check
On April 15th, the IRS launched the Get My Payment application, where you’re able to check your payment status, confirm whether you’re getting it by direct deposit or check, and enter your bank account information for quicker access to your stimulus money. In order to track the payment, you’ll need to input your Social Security number, date of birth, street address, and zip code. The portal will show your payment status, whether it’s been scheduled, or if your status is unavailable. Get My Payment will return “Payment Status Not Available” if the application doesn’t yet have your data, or you are not eligible for a payment.
You’ll also be guided step-by-step on how to set up direct deposit with the IRS if you haven’t already done so. If you didn’t get a tax refund in 2018 or 2019, the IRS asks that you enter your bank information in their online tool.
Coronavirus Tax Relief
To ease the burden on American taxpayers, the federal tax filing deadline has been extended to July 15, 2020. Quarterly estimated tax payments can also wait until July 15th. This deferment applies to all taxpayers, including individuals, corporations, trusts and estates, and other non-corporate tax filers.
If you need more time beyond July 15th to file your taxes, you’ll need to file an extension form by July 15th. An extension will give you until October 15, 2020 to file your taxes. However, make sure to pay any taxes owed by July 15th to avoid penalties and interest.
To get your payment as quickly as possible and ensure that the IRS has the most accurate tax filing and direct deposit information, we recommend filing your 2019 tax return as soon as possible.
America’s Top Tax Relief Experts – We Remain Open To Help Taxpayers
US Tax Shield is open to help taxpayers across the country with their IRS or state issues. We are offering tax help for taxpayers, businesses, tax-exempt organizations, and others – including health plans – affected by coronavirus (COVID-19). Our process starts with a FREE, no-obligation consultation with one of our tax relief experts to determine your settlement options based on your specific case. Just like our community, we never give up. Our customers remain a priority. If you, a loved one, or a colleague needs a hand during these trying times, contact US Tax Shield at (877) 829-3535.
