There is renewed hope that onecould be approved earlier . In the most significant development since the beginning of August, the House Speaker Nancy Pelosi and the head of the Ministry of Finance Steven Mnuchin have agreed that to send a new one , which is expected to include .
As the situation continues to develop (andstarting next week), we can cut through many of the complexities and hone the most important details to know right now, including where the bill stands today, how fast you can get paid and how stimulus payments are reflected in your taxes. This story is updated regularly.
Everyone wants to give you another stimulus check
There is strong bipartisan support to provide an additional direct payment(more on that below). Republican and Democratic lawmakers and President Donald Trump all want a solution that includes a second stimulus check (like .)
In fact, provisions for a second inspection have been a part of, a writer of Democrats and one of Republicans. And another stimulus check is also expected to be in a new and smaller rescue proposal Pelosi has instructed the House Democrats to prepare. The House of Representatives could vote on the new proposal on 2 October.
You do not pay tax on incentive money
The IRS does not consider incentive money to be income, and a payment you receive this year will not reduce your 2021 refund or increase the amount you owe when you file your 2020 tax return. You will also not have to repay part of your check if you is entitled to a lower amount in 2021. The IRS said that if you did not get everything you owed this year, you can claim it as a credit on your federal income for the 2020 tax return by filing in 2021.
The IRS can speed up the process of sending checks
IRS and Treasury Department sentto recipients in 19 days. Treasury Secretary Steven Mnuchin has said he could send them much faster this time, once new legislation has been signed.
“I was able to get 50 million payments really fast,” and start making payments a week after a bill is signed, Mnuchin said in August. We.
Eligibility rules can be changed in your favor
While we believe that a second stimulus control would largely follow the same guidelines as the first,may change. It may even benefit your family if a new incentive bill redefines it .
Other eligibility remarks:
The IRS has a plan for who gets a check first
With the first check, the IRS and the Treasury Department sent checks in three ways: direct deposit, physical checks, and. According to the latest figures from the Ministry of Finance (in June), this is how the almost 160 million payments are broken down:
- Direct deposit: 75% or 120 million payments
- Paper check: 22% or 35 million payments
- Prepaid EIP debit card: 3% or 4 million payments
It is expected that you will get your money the fastest with direct deposit, followed by the check and then the EIP card. Read. The IRS automatically selects the payment method, but will likely reopen its portal if new legislation is approved.
We already think we know how much money you can get
If you areor looking for an estimate of how much a second check may contain, you can use ours to get an idea of how much you, your family and can expect to get, especially if the qualifications change with another stimulus check. Our calculator tool does not save your personal information in any way.
Payment information can be complicated, fast
When and if a second stimulus check arrives, the details will require some rewinding. While some situations are simple, other complications about you and your loved ones can make it unclear if you are eligible, the size of a check you can expect and when it will arrive. Striped cases abound.
There is much more to know about other government payments during the pandemic. Here’s what you need to know about, den and .