Here’s a quick summary of where the situation stands. President Donald Trump, who is now in Florida, reiterated on Saturday that he did. An upper limit of $ 2000 would no doubt bring more immediate relief to tens of millions of households, but it also threatens the entire bill by the very last hour.
While we wait to see what happens next, we now know that after a law is signed, the IRS will start planning theto go out to different groups, according to a certain order, which we will explain below. (How to estimate your total with our .) We recently updated this story.
First group: people who have a direct deposit with the IRS
People who use theirregistered with the IRS, or who quickly provide that information when and if the IRS registration opens it again, are expected to be in the first group to receive a stimulus check. Wire transfer is faster and more efficient than sending a check, so this group got their first payment much faster.
read more: A? This is why .
“The good news is [direct deposit] is a very, very quick way to get money into the economy. Let me stress: People will see this money early next week, ” Treasury Secretary Steven Mnuchin said on Monday during a phone call with CNBC (before Trump spoke).
For the first stimulus check, the IRS took 19 days to build its online tool. On April 15, it sent the first batch of stimulus checks, and in the first week, it sent about $ 80 million payments toby direct deposit. People were encouraged to sign up for direct deposit through May 13 to receive their checks faster than by mail. Some have been there or with . But overall, this was the fastest method.
Here are ways you can helpincluding what we now know .
Beneficiaries of Social Security: There are two main scenarios
On the first stimulus payment, many people who receive Social Security benefits, who also had direct deposit information registered with the federal government, received checks in the first week, but not always on the first day.
The IRS had a separate information section for people. Normally, people in these groups receive their federal benefits through a Direct Express card, although people in this group received their incentive payment through a non-Direct Express bank or paper check.
Why there can be delays in paper check delivery
With the first batch of payments, the IRS began sending checks about a week after it processed the money for people with direct deposit data on file. According to a June report by the Government Accountability Office, the U.S. Treasury can process between 5 million and 7 million paper incentive checks per week, in addition to checks for other federal programs.
But there is a catch. Language in the Incentive Act sets a Jan. 15 closing for the IRS to send payments. So anyone who hasn’t received theirs by that date should.
The timing then becomes a matter of how soon you file your taxes for 2020 and how quickly the IRS could process your return. These two scenarios are influenced by different factors. For example, people filing their tax return in February would likely receive their stimulus check money – in the form of a– months for people waiting until the April 15 deadline or submitting an extension.
Recipients of an EIP card by mail were the last to be paid in the first round of incentives
are prepaid Visa cards that the IRS sent to about 4 million people as of mid-May, one month after the first direct deposits took place. If the IRS couldn’t mail these before January 15, they would face the same problem as the paper checks.
People with more complex situations can ultimately wait the longest
For the first check, this category includes people who received a check after June, have not yet received their full incentive payment, or who. It is not clear what would happen if there was a problem during the process and the was further delayed. It is likely that the IRS would set a different, later deadline to address clerical errors such as missing out on incentive funds and other scenarios.
If you haven’t received the full amount due from the first payment, what happens?
It’s not always clear how much money the IRS owes you in the event of an error. We recommend starting with ourand this introduction . If the numbers seem lower than they should be, you may want to investigate further.
See if any of these situations might apply to you: Are you, or ? Are you a taxpayer (including and people who )?
If you have aand did not receive a check as expected, you may also need to read the rules. And a court order has made it possible for millions to get a check even after the IRS changed its interpretation to exclude this group.
Depending on which group you’re in, we’ve also mapped out some speculative dates.