The first of the “Economic Impact Payments” were direct deposited into recipient bank accounts this week.
These payments are part of the sweeping CARES Act stimulus bill.
The amount is $1200 per person, with an additional $500 for each qualifying child. To qualify the child must be under the age of 17.
People who are claimed as a dependent on another person’s return are not eligible.
The payments are phased out for higher income earners, with the phase out beginning at
- $75,000 for individuals
- $112,500 for head of household filers and
- $150,000 for married couples filing joint returns
The IRS will use the information from your 2019 tax return if you have filed it already. If not, they will use the information from your 2018 return.
You can use this calculator from Kiplinger to find out your estimated payment.
- Your 2019 AGI can be found on line 8b of your 1040
- Your 2018 AGI can be found on Line 7 of your 1040
If there is direct deposit information on your return, the payment will be sent to that account.
The scammers are out there – preying on people by pretending to be the IRS asking for bank information in order to deposit the stimulus money.
The IRS does not initiate contact with taxpayers by phone, email, text messages or social media channels to request personal or financial information. Also, watch out for emails with attachments or links claiming to have special information about economic impact payments or refunds.
You can use this IRS.gov “Get My Payment” link to:
- Check your payment status
- Confirm your payment type: direct deposit or check
- Enter your bank account information for direct deposit if the IRS doesn’t have your direct deposit information and hasn’t sent your payment yet
I tried the “Get My Payment” link today with a client and unfortunately we didn’t get very far. After inputting her information it said “Payment Status Not Available”. We’ll try again next week. The IRS will mail snail mail checks if they don’t have direct deposit information. This could take months.
If you are a retiree who receives Social Security who does not have to file a tax return, you do not need to take action. These recipients will receive their payments as a direct deposit or by paper check, just as they normally receive their benefits.
For security reasons, the IRS plans to mail a letter about the economic impact payment to the taxpayer’s last known address within 15 days after the payment is paid. The letter will provide information on how the payment was made and how to report any failure to receive the payment.