Check on your Stimulus Check

Clift Notes

Christina Clift

For the past year, the Coronavirus has ravaged our country killing more than 400,000 people, causing hundreds of businesses to close, millions of people to lose their jobs, long lines for families needing food and countless families facing eviction from their homes.  Wearing masks, social distancing, virtual learning, and working from home have become our new normal.  

In April 2020 Congress authorized the Cares Act which provided economic impact payments, often referred to as stimulus checks in the amount of $1,200.00 to most Americans.  Unfortunately for many individuals this was not enough help as the pandemic continued to worsen.  

Eight months have passed since the Cares Act was passed and now Congress has authorized a second round of help.  While Congress continues debating whether to increase the stimulus payments from $600.00 to $2,000.00 here is what you need to know.

Eligible individuals who did not receive an Economic Impact Payment this year – either the first or the second payment – will be able to claim it when they file their 2020 taxes in 2021. 

The IRS urges taxpayers who did not receive a payment this year to review the eligibility criteria when they file their 2020 taxes; many people, including recent college graduates, may be eligible to claim it. People will see the Economic Impact Payments (EIP) referred to as the Recovery Rebate Credit (RRC) on Form 1040 or Form 1040-SR since the EIPs are an advance payment of the RRC.

During the first round of Economic Impact Payment there were a number of issues involving people not receiving their payments:

• As with the first round of payments under the CARES Act, most recipients will receive these payments by direct deposit. For Social Security and other beneficiaries who received the first round of payments via Direct Express, they will receive this second payment the same way.  Anyone who received the first round of payments earlier this year but does not receive a payment via direct deposit will generally receive a check or, in some instances, a debit card. For those in this category, the payments will conclude in January.

 

• Check your payment status on the IRS website's "Get My Payment" portal. Be sure to also update your address and bank account details.  The IRS is supposed to have all stimulus checks sent out by Jan. 15, and if they do not, you will likely have to claim your money when you file your federal tax returns later this year.

• If you did not use a tax preparer service and still have not received your stimulus payment there could be other reason such as, you had a change in your banking institution or account  information  in the last year after the first stimulus check.
  
  

• If you did not receive the full amount of stimulus money you were entitled to you can claim the recovery rebate credit for the difference in the amount of your 2020 tax return based on Notice1444 received from the IRS, which was shared with you by the IRS after payment was made.

President Biden has said that there will be a third round of stimulus payments.  When that happens  our consumers won't have to spend a bunch of time and energy wondering when and where that third stimulus check will arrive.  If you have any further questions or issues regarding the Economic Impact Payment you can visit the Internal Revenue Service website at www.irs.gov.  If you work with MCIL and you do not have internet access an Independent Living Specialist may assist you with navigating the IRS website.  Our contact information is 901-726-6404.