Get $2400 with No Tax? COVID-19 Stimulus Checks Qualification
The stimulus checks is the direct payment of money from the federal government to American individuals and families.
Here are some FAQs about the stimulus checks 2020:
How Much Money Will I Get?
The package provides one-time payments of $1,200 for each adult and $500 for each child under the age of 17. Married couples will receive $2,400.
However, payments phase out for individuals making more than $75,000 and couples making more than $150,000. For every $100 you earn above the limit, the payment amount drops by $5.
Individuals making more than $99,000 and couples making more than $198,000 will not qualify for a payment.
Is the Check Based on my 2018 or 2019 Tax Return?
Your check will be based on your 2019 tax return – if you’ve already filed it. If you haven't, it would be based off of your 2018 return.
What If I Didn't File a Tax Return in the Last Two Years?
For various reasons, you might not have filed a tax return in 2018 or 2019. They can pull information from a 2019 Form SSA-1099, Social Security Benefit Statement, or Form RRB-1099, Social Security Equivalent Benefit Statement, to calculate your stimulus check amount.
Will the Money I Get Now Be Taxed Later?
No! The checks that will be sent now are actually advanced payments of a new refundable tax credit for the 2020 tax year. Federal refunds are never taxable income.
However, if you don't get a stimulus payment in 2020, you can claim it next year as a refund or reduction of the tax you owe if you file a 2020 tax return by April 15, 2021.
Will Young People Who Live with Their Parents Get a Check?
If a young adult is claimed as a dependent on anyone else’s tax return, they won’t receive a check. The IRS will look at tax returns from the last two years to determine if someone could claim that young adult as a dependent.
Will Retired Seniors Also Get Stimulus Checks?
Much like young adults, retired seniors will see checks as long as they are not listed as a dependent for someone else. They also need to fall within the income thresholds.
Do I Have to Have a Social Security Number to Get a Check?
Yes, you must have a Social Security number to receive an economic stimulus check.
How Will I Get The Money?
You do not have to apply to receive the money. The IRS plans to make direct deposits using bank account information you provided on previous electronically filed tax returns.
If you’re set to receive a paper check, it’ll likely be mailed to the last address you had on file.
What If I Moved Recently?
If you recently moved, you should file a Form 8822 with the IRS and a change of address notice with the U.S. Postal Service.