The COVID-19 pandemic has caused the entire country to basically shut down while we all stay inside, social distance, and do our best to flatten the curve. Restaurants, movie theaters, and all non-essential businesses have had to shut down or alter their business in order to abide by the orders of their respective state and how they are handling this global health crisis.
Because all of these businesses are closed, the economy has suffered, many people have lost their jobs, and the federal government is trying to step in and help. They have passed a $2.2 trillion economic stimulus package, which means that qualified Americans will receive a check for $1,200. So when are these checks coming and how can you keep an eye on when yours will appear?
The stimulus package was formerly known as the CARES Act.
The $2.2 trillion economic stimulus package, formerly known as the CARES Act, was signed into law and soon, Economic Impact Payments, also known as stimulus checks, will start to show up in Americans' bank accounts. The IRS announced via Twitter on Saturday, April 11 that the first Economic Impact Payments had been deposited into recipients' bank accounts.
Payments will be as much as $1,200 per adult and $500 per qualifying child under 17. These payments will be deposited in the bank accounts of qualified citizens.
Who qualifies for a stimulus check?
83% of taxpayers should qualify to receive an economic impact payment, according to The Washington Post. Individuals with adjusted gross incomes up to $75,000 a year will be eligible for the full $1,200 check. Reduced checks will go out to individuals making up to $99,000 a year (the payment amount falls by $5 for every $100 in income above $75,000).
Married couples are eligible for a $2,400 check as long as their adjusted gross income is under $150,000 a year. Reduced checks, on a sliding scale, will go out to married couples who earn up to $198,000. Married couples also will receive an additional $500 for every child under 17. Heads of households will also receive an additional $500 per child under 17.
Do you have to repay a stimulus check?
Some are wondering if stimulus checks will need to be repaid in some way once the economy is back up whether through a separate tax or otherwise. This is a myth.
Assuming all of the information on your tax returns is correct, you will not repay the check next spring. According to CNBC, “You may even receive more money when you file your 2020 taxes. While the checks are based off of your 2019 or 2018 returns to get you money now, they are technically credits for 2020 taxes, per the Tax Foundation. If it turns out that you should receive a larger credit based on your 2020 adjusted gross income (AGI), then you will receive the difference next year.”
Can you track my stimulus check?
The U.S. Treasury Department and the IRS announced that a new tool will be available on the IRS Economic Impact Payment Web page on Friday, April 17. The Web application will be called "Get My Payment."
The app will allow you to check the status of your stimulus check if you have not received yours yet. It will let you know approximately when it will reach your bank account or be mailed to you.