Economic Impact Payments are about to start hitting bank accounts. This relief initiative has been rolled out by the IRS and the Treasury Department and aims to help taxpayers who have been negatively impacted by the outbreak of coronavirus.
This brief guide will show you what amount you could receive, which taxpayers qualify to Economic Impact Payments, and how to check the status of your payment online.
The Amounts You Could Receive
These are the amounts you could expect to receive if you are eligible for an Economic Impact Payment.
- Up to $1,200 for eligible individuals
- Up to $2,400 for eligible married couples
- Up to $500 for each qualifying child for eligible individuals
In order to qualify for an Economic Impact Payment, you must have an adjusted gross income (AGI) of up to $75,000 for individuals, up to $112,500 for head of household filers and $150,000 for married couples filing joint returns.
However, if your adjusted gross income goes over these limits, you can still get a reduced payment if your AGI is comprised within these categories:
- $75,000 and $99,000 if your filing status was single or married filing separately
- 112,500 and $136,500 for head of household
- $150,000 and $198,000 if your filing status was married filing jointly
The amount of the reduction to your Economic Impact Payment will be determined considering your specific adjusted gross income.
Check Your Economic Impact Payment Online
You can check your payment status, confirm your payment type and enter your direct deposit information (If you believe the IRS doesn’t have it) using the Check My Payment website that was unveiled recently by the IRS.
The IRS uses information included in previous tax returns to send the Economic Impact Payments. However, people who did not file a tax return in 2018 or 2019 can access this website to enter their payment info.
The government’s response to COVID-19 changes constantly, so it’s important to stay updated. You can check the IRS website or this blog to learn more. It’s also a good idea to get advice from an expert who can help you get advantage of the relief initiatives unrolled by the government.
At Meadville Tax Services we have the know-how and the drive to assist you so you can file your taxes efficiently, limiting your tax liability while staying compliant with federal tax regulations.