The Internal Revenue Service has fired up the printers to get stimulus checks into American’s pockets. They began processing the payments yesterday. The official payment date is January 4, 2021.
The economic impact payments are part of the Coronavirus Response and Relief Supplemental Appropriations Act of 2021 signed into law on Sunday night. The act was held up due to a dispute over the amount of the stimulus payments. There had been talk of issuing $2000 checks but efforts to advance that in Congress have fallen short.
For this round of stimulus checks, people can expect to receive $600 for singles and $1,200 for married couples filing jointly payments. You will also receive $600 for each qualifying child. Dependents over 17 are not eligible.
Eligible Americans could see the direct deposit as early as today. Paper checks will begin to be mailed today as well. With slow downs in the postal service due to COVID-19 and the holidays, those expecting paper checks should brace for an extended wait time.
You don’t have to do anything to receive the stimulus payments. Recipients are taxpayers who filed a 2019 tax return, those who receive Social Security retirement, survivor or disability benefits (SSDI), Railroad Retirement benefits, Supplemental Security income (SSI) and Veterans Affairs beneficiaries who didn’t file a tax return as long as those individuals fall in the income threshold for the payments. If your gross income for 2019 was no more than $75,000 for individuals and up to $150,000 for married filing jointly, you should receive a full stimulus payment.
For any eligible taxpayer who didn’t receive the first stimulus payment or may not receive this one, you can claim it on your 2020 taxes as the Recovery Rebate Credit (RRC) on Form 1040 or Form 1040-SR since these stimulus payments are classified as an advance payment of the RRC.
You can check the status of your payment with the Get My Payment tool on IRS.gov. Please contact your Henry + Horne tax professional with any questions. For more information and resources on COVID-19, see our coronavirus page.