Information You Need To Know About The $600 Stimulus

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At the time of this writing, millions of Americans have received their $ 600 stimulus check, the second sent to Americans since the COVID-19 pandemic began.

What is the $ 600 Stimulus Check? What is it for? Do you have to pay it back? These and other questions are answered in this article.

If you haven’t received your Stimulus Check yet, this article will tell you what to do to make sure you get it.

Background to the $ 600 stimulus check in December 2020

In the final days of December 2020, Congress reached an agreement to provide a $ 900 billion COVID-19 stimulus package to individuals, businesses and other organizations. That incentive was part of a $ 1.4 trillion spending statement that set out how federal programs would be funded through September 30, 2021.

That deal came after the Democrats battled over a one-time stimulus payment of $ 2,000, which was rejected by Senate Republicans.

This stimulus package includes a plan for the distribution of COVID-19 vaccines, unemployment benefits, $ 525 billion in small business aid, school funding, rental support, and improved broadband internet access.

This also includes an extension of the eviction moratorium by a further month. However, student loan leniency is set to end in late January.

The December 2020 stimulus check for USD 600 is, like the first stimulus check, a prepayment for the Recovery Rebate Credit. Learn more about the original COVID-19 stimulus check!

Who Qualifies for the $ 600 Stimulus Check?

Americans who made less than $ 75,000 in 2019 will receive a direct payment of $ 600 plus $ 600 per dependent child in the household. Couples submitted together who have earned less than $ 150,000 per year will receive a direct payment of $ 1,200.

The benefit amount is reduced by $ 5 for every additional $ 100 earned over $ 75,000 (or $ 150,000). Those who earned $ 87,000 or more in 2019 (or couples who collectively earned $ 174,000 or more) are not eligible for the stimulus payment.

Payees who meet the admission requirements do not have to repay them.

There is no limit to the number of dependent children a household can have, so a family of three dependent children and two parents filing together can receive up to $ 3,000.

All American citizens who paid tax in 2019 are automatically eligible. If you didn’t pay tax in 2019 (or if you didn’t use the IRS non-filer tool for the first payment), you can claim the recovery balance when you submit your 2020 return.

Domestic foreigners are entitled to the stimulus payment provided they meet the eligibility criteria. Mixed status couples (couples where one party does not have a social security number) are also eligible for the stimulus payment.

I have not received my stimulus check: what happened?

In early January it was reported that millions of eligible recipients had not received their stimulus check. The problem was found to be related to those who filed with TurboTax, Jackson Hewitt, or H + R Block. These providers create temporary accounts for taxpayers so that they can deduct their preparation fee from the client’s tax return. These temporary accounts may have received payment.

To see if this has happened to you, go to the IRS Get My Payment tool. If the payment was issued but you can’t see the account number, it is likely one of those temporary accounts.

If you’ve filed your taxes with TurboTax, H&R Block, or Jackson Hewitt, you have two options. The first is to contact your tax advisor and see if you can get the payment back. The second option is to file your 2020 tax return once the tax package is published and apply for your refund credit.

As of January 12, 2021, most checks were either mailed or sent by direct deposit.

In total

  • The $ 600 stimulus check was issued as part of a $ 900 billion response to the economic conditions caused by the COVID-19 pandemic.
  • All Americans who earn less than $ 75,000 a year are eligible for the full $ 600. Americans who earn more than $ 75,000 but less than $ 87,000 per year are eligible for partial payment.
  • Receive an additional $ 600 per dependent child identified on your 2019 tax return.
  • If you haven’t received your Stimulus Check, you may just have to wait, contact your tax advisor, or claim the refund using the Refund Credit on your tax return.

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Information You Need To Know About The $ 600 Stimulus

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What is the $ 600 Stimulus Check? What is it for? Do you have to pay it back? These and other questions are answered in this article.

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Jason M. Kaplan, Esq.

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The credit professionals

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Information You Need To Know About The $600 Stimulus

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