After months of debate, Congressional leaders on Sunday reached a deal on a $900 billion COVID-19 economic relief package. Here’s everything you need to know.
How much $ will I get?
Americans will be getting a second stimulus payment for Christmas after all, with lawmakers reaching an agreement over the weekend for a $900 billion pandemic rescue package.
In addition to providing enhanced weekly unemployment benefits, small business loans and funding to help with vaccine distribution, the latest relief package also provides for a second round of stimulus payments — up to $600 per individual.
Individuals earning up to $87,000 and couples earning up to $174,000 will receive some form of payment. Individuals who earned up to $75,000 in 2019 will get the full amount of $600 and couples that earned up to $150,000 will receive $1,200.
The relief package also provides a $600 stimulus payment for dependents, that will only be granted for children under the age of 17.
Who’s getting a check?
As for who’s getting a check, it’s based on income. Individuals making less than $75,000 and couples earning less than $150,000 will receive the full $600 amount ($1,200 per couple). But those with a 2019 adjusted gross income higher than that will get less. Stimulus payments will decrease by $5 for every $100 in income over those thresholds, phasing out completely for individuals earning over $87,000 and couples earning $174,000.
How will they know how much I earned?
If you filed taxes for 2019, the total is based on your "adjusted gross income," which can be found on Line 8B of Form 1040 on a 2019 return.
What do I have to do to get the stimulus payment?
There's nothing you need to do or sign up for, other than filing U.S. taxes for the year 2019. If you've filed a tax return in recent years, are a Social Security or disability beneficiary, or are a disabled veteran, you qualify for the payments and the federal government will be sending the checks to the direct deposit account, or mailing address it has on file for either your tax refund or benefits.
How will I receive the stimulus payment?
If you received a paper check in the spring of the year 2020 and have not provided the government with direct deposit information for your bank account ever since, that is how the payment will be sent to you in the coming weeks. If you moved from your address in the past months, you should update this with the IRS ASAP.
Is the stimulus payment taxable or do I have to return it in the future?
No. The stimulus payments are not taxable and will not have to be returned in the future.
Get Your Stimulus Payment ASAP
Didn’t file a Tax Return?
- If you didn’t file your 2019 tax return: Contact me now to get your late tax return filed and submitted to the IRS so that you get compliant and take advantage of this second stimulus payment!
- If you didn’t file for previous years (2018 and before): You have a wonderful option to get compliant with the Streamlined Procedure package. Once you’re tax compliant, the IRS will send you your check.
- If your worldwide income was lower than the tax filing threshold: You may not need to file a tax return, but you can still receive the Stimulus check by applying as a non-filer as a US citizen abroad. You can use the IRS Non-Filer portal to file, but it is recommend you use my services because they’re set up exclusively for US expats like yourself.
If you want to know what else is in the $900 billion stimulus package, visit What Reliefs Are In The Second Stimulus Package.
