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5 Steps to Take if you Haven’t Received your Economic Impact Payment

Connor SmithApril 29, 2020

COVID-19 Related Information

As part of the recently passed CARES Act, qualifying individuals will receive Economic Income Payments of $1,200 for each adult and $500 per child.  Recently, clients have been inquiring into when they will receive their Economic Impact Payment and what to do if they have not received it yet.  The Treasury has sent many payments already, but if you still haven’t received your payment there are a few steps you can take to make sure you will.

  • Check your Adjusted Gross Income (AGI) – Your AGI can be found on line 8b of form 1040 of your 2019 tax return. If you haven’t filed your 2019 tax return, you should reference your 2018 tax return.  Single individuals whose AGI is $75,000 or less will receive the full amount of $1,200 per filer and $500 per dependent child under 17 (if they have children).  Married couples filing a Joint tax return with no children and an AGI of $150,000 or less will receive a total of $2,400.  Taxpayers filing as Head of Household will get the full payment if their AGI is $112,500 or less.  There is a phase-out range for the payments if your income is above these thresholds.  For every $100 your income is above these amounts, your Economic Impact Payment will be reduced by $5, until it is reduced to $0.
  • Visit the IRS’s website – If checking your tax return is too onerous, or once you have checked your AGI, you can check this IRS website. This website is a great resource for FAQs, and you can use the Get My Payment feature to find out the status on your payment.  To use the Get My Payment tool, you will need your Social Security Number, Date of Birth, Street Address and Zip Code, and you may need your 2018 or 2019 tax return.
  • Keep a close eye on your bank account – If you have used direct deposit for your Federal Tax Refund in the past, the Treasury should issue your Economic Impact Payment via direct deposit to the last bank account associated with the direct deposit of your Federal Tax refund. If the IRS does not have any bank account information on file for you, you can provide it through the Get My Payment tool.  However, you cannot change your bank account information if you have changed or closed bank accounts.  When a deposit is returned or rejected because a bank account is closed or the bank account number is invalid, the IRS will mail a physical check via USPS.  A mailed payment should arrive within 14 days.
  • Watch out for a letter from the IRS – Individuals who qualify for the payment will receive confirmation that they qualify, and notification of their payment amount, in a letter from the Treasury Department sent via USPS. You may actually receive this letter after you receive your Economic Income Payment and it will be sent to the last address the IRS has on file.
  • Be vigilant of scams – Scammers are trying to capitalize on the vulnerable situation many Americans are in. Visit this site for the top 5 scams to be aware of regarding Economic Impact Payments.  Also, beware that scammers are emphasizing the words “Stimulus Check” or “Stimulus Payment”, while the official term is Economic Impact Payment.

If you have additional questions related to the Economic Income Payments the CARES Act provides, or the CARES Act in general, feel free to reach out your advisor, or, call us at 610-651-2777.

 

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