Third stimulus check: See how to know if you will receive payments of $ 1,400

Approximately 90% of American households will be eligible, according to a Penn Wharton Budget Model estimate.

Payments are worth up to $ 1,400 per person, including dependents. Therefore, a couple with two children can receive up to $ 5,600. Unlike previous rounds, families will now receive additional money for adult dependents over the age of 17.

The total amount goes to individuals who earn less than $ 75,000 of adjusted gross income, heads of household (such as single parents) who earn less than $ 112,500 and married couples who earn less than $ 150,000. But then payments gradually decrease as revenue increases.

Do you earn a lot of money to be eligible?

Individuals who earn at least $ 80,000 a year in adjusted gross income, heads of households who earn at least $ 120,000, and couples who earn at least $ 160,000 will be completely cut off from the third round of stimulus payments – regardless of how many children they have.

In what year are income limits based?

Income limits will be based on the most recent taxpayer statement. If they have already submitted a 2020 return at the time the payment is sent, the IRS will base the eligibility on their 2020 adjusted gross income. Otherwise, it will be based on the 2019 return.

When can you expect money?

People can start to see payments reach their bank accounts a few days after Biden signed the bill – which should happen soon after the House vote on Wednesday on Covid’s $ 1 aid package, 9 trillion.

For the previous pandemic stimulus project, the IRS began sending the second round of payments three days after then President Donald Trump signed the legislation in late December. But it is possible that the tax reporting season, which is underway, may slow the process down at this point.

Payments don’t come out all at once. Those whose bank information is filed with the IRS are likely to receive the money first, because it will be deposited directly into their accounts. Others may receive paper checks or prepaid debit cards in the mail.

You have received the last stimulus check. Will you get this one?

Not necessarily. Although the same people who received the full amount in the previous two rounds of stimulus payments are likely to receive the full amount this time, checks will be eliminated more quickly now – cutting people with a lower income level.

The first round, which was worth up to $ 1,200, excluded individuals who earned at least $ 99,000, heads of filers with a child who earned more than $ 136,500, and childless couples who earned more than $ 198,000 – but families who they earned a little more and were still eligible if they had children. About 160 million payments were made, with 94% of households receiving the money.

The second round, which was worth up to $ 600, also ended up a little faster because the total amount was less. It was totally eliminated by $ 87,000 for single childless registrars and $ 174,000 for married couples who jointly declared without children. Again, those who earn a little more are still eligible if they have children. About 158 million payments were made, with 92% of households receiving.

Payments were based on the taxpayer’s most recent income tax return. Therefore, those who have submitted new claims since last March can enter or leave eligibility if their earnings change.

Who else is not eligible?

Undocumented immigrants who do not have a Social Security number remain ineligible for payments. But your spouses and children are eligible, as long as they have a Social Security number. They were excluded from the first round.

Should you return any money to the IRS if you earn more in 2020?

No. If your income in 2019 was less than your salary in 2020, you should not return any money.

But if your income dropped in 2020, filing your tax return now – before payments are made – could mean that you will receive a bigger check.

What if you never received your last payment, but you believe you are eligible?

Most people receive payments automatically, but many have missed out – for a variety of reasons. It is estimated that 8 million eligible people did not receive the first round of payments made last year.

Many of these people have very low incomes and are not usually required to file tax returns. Last year, the IRS created an online portal where they could register to receive the money. It is not yet clear whether the agency will open the portal again for the third round of payments.

People who have changed or changed their bank account since the last time they filed tax returns may also have been left out.

Those who owed money during the first two rounds of payments and did not receive it can claim it as a tax credit, known as Recovery Recovery Credit, in their 2020 tax returns.

.Source