WASHINGTON – Democratic-controlled Congress is about to approve its largest round of coronavirus stimulus payments, fulfilling a campaign promise from President Joe Biden.
If the $ 1.9 trillion Covid-19 relief bill passes and becomes law, it will provide the third round of stimulus checks – after the $ 1,200 payments last March and the $ $ payments. 600 in the December bill signed by President Donald Trump.
The Senate is improving the version of the bill in the House, which is the most likely to become law, despite protests by Republicans. It is still possible for some details to change before the process is over and the money goes out.
But for now, here are some questions and answers on how payments would work on the Senate bill, according to information provided by Democratic officials who drafted it:
Why $ 1,400? Biden promised $ 2,000
He promised payments of $ 2,000 – but in the context of increasing payments in the December bill, which Republicans capped at $ 600. Biden says the checks for $ 1,400 would keep the promise when added to previous payments.
OK, who gets the money?
Individuals who earn less than $ 75,000 or heads of households who earn less than $ 112,500. For couples filing their taxes together, both qualify for the full amount if they earn up to $ 150,000 together. (The couples would receive $ 2,800.)
Individuals earning $ 75,000 to $ 80,000 would still receive checks, but would be less than $ 1,400. The same goes for heads of households who earn from $ 112,500 to $ 120,000 and couples who earn from $ 150,000 to $ 160,000.
Those who do more will not receive payments.
And my children?
In addition to the adult fees, parents would receive $ 1,400 more for each child in their tax returns. This includes adult children, such as college students, and those with permanent disabilities, as opposed to last year’s stimulus payments.
Therefore, if you have a family of four with a family income of less than $ 150,000, you should receive $ 5,600.
So, wouldn’t some people who made money last time have it now?
Right. Biden agreed with the demands of Senate Democratic moderates to “direct” checks more strictly, meaning that individuals earning from $ 80,000 to $ 100,000 (and couples earning from $ 160,000 to $ 200,000) would receive no money. .
What if I lost my job last year and now earn less?
This is important: people who have lost their jobs or whose income has declined for any reason in the past year must file their tax returns as soon as possible to get the maximum payment. If the IRS processes your new return at the time the checks are out, this is the revenue on which the payments would be based.
If you don’t do it in time, the amount will be based on your 2019 revenue – before the pandemic.
What if my income increased last year?
Then you will probably get a bigger check if you wait to complete your income tax returns until after they leave. As long as you earn less than $ 80,000 in 2019, of course. But don’t wait too long – the deadline for filing tax returns is still April 15th.
Would you come by direct deposit or paper check?
If the IRS has your bank account information on file, it will leave the money for direct deposit. (In previous rounds, this has been the fastest route.) Otherwise, he would send a paper check to your address. You wouldn’t have to do anything but make sure he has the most up-to-date information.
If it’s a paper check, will Biden sign it like Trump did?
It is not clear. A White House spokesman declined to comment when asked about this.
Would I have to pay taxes on payments?
Do not.
I am not an American citizen, but I am a legal resident. Would I qualify?
Yes, if you have a Social Security number.
I am living illegally in the USA and I pay taxes. Would I get a check?
No. You need a valid Social Security number. An individual taxpayer identification number would not count.
What if I am married to an undocumented immigrant?
You would receive a payment and your spouse would not. The same goes for your children – each member of the family with a Social Security number would receive a payment, and those who did not would be excluded.
I owe alimony. Could they get my check?
If you owe child support or student debt to the federal government, you must be protected from garnishment. But debts with private entities are not protected because of the Senate’s mysterious rules that govern the process. (This is a change from last year, when Congress used a different process that didn’t have that limit.)
OK. When would this bill become law?
Democrats say they want it signed by March 14, and that is still realistic. The Chamber approved a version. The Senate is in the process of approving it in the next few days, except for surprises. Then the House would have to vote again to approve the Senate version before it went to Biden’s desk.
And how quickly would payments go out?
The IRS has done this a few times, so it should be able to act quickly. But there is no exact timetable. Keep an eye on your bank account or mailbox after Biden signs the account.
