IRS COVID-19 Economic Impact Payments
The U.S. Treasury Department and the Internal Revenue Service have announced that distribution of Economic Impact Payments has begun and will be automatic for those who filed tax returns in 2018 or 2019. Social Security beneficiaries who are not typically required to file tax returns will not need to file an abbreviated tax return to receive an Economic Impact Payment. Instead, payments will be automatically deposited into their bank accounts.
Who is eligible for the economic impact payment?
Eligible taxpayers will receive an economic impact payment of up to $1,200 for individuals or $2,400 for married couples. Eligible parents also receive $500 for each qualifying child.
Tax filers with adjusted gross income up to $75,000 for individuals and up to $150,000 for married couples filing joint returns will receive the full payment. For filers with income above those amounts, the payment amount is reduced by $5 for each $100 above the $75,000/$150,000 thresholds. Single filers with income exceeding $99,000 and $198,000 for joint filers with no children are not eligible.