On Sunday night, President Donald Trump signed a $900 billion coronavirus relief package which included a second round of stimulus payments. The signed deal will send $600 checks monthly to those who qualify.
Due to the pandemic taking jobs from millions since March, Congress provided individuals who qualify with $1,200 direct payments, couples with $2,400 direct payments, plus $500 per child, or dependents with the $2 trillion CARES Act.
Similar to the first round, new payments will start phasing out for individuals with adjusted gross incomes of more than $75,000 and those making more than $99,000 won’t receive payments. Since these amounts are per person, the amounts, or income thresholds are doubled for couples.
It took two weeks for the IRS to start distributing funds, and for people to start receiving their payments back in March, and the same is expected this round. In addition, eligible recipients who have not filed taxes may not receive their checks months later, similar to what happened with the first round of payments.
This time around, additional checks could delay the start of the 2020 tax filing season. A second stimulus check means the agency will have to make changes to the tax return forms.
The stimulus payments are not all sent out at once. Those with bank information on file with the IRS will likely get their checks first. However, others will receive their funds via paper check, or prepaid debit card in the mail.
The IRS already has a lot on their plate in December, since this is when work is done to prepare for the upcoming tax season.
