Cash Payments

Will I get a direct payment?

Millions of Americans will be eligible for a direct payment.  This provision would provide $1,200 for single filers and heads of households and $2,400 for married couples (filing joint returns).  The provision also provides for $500 per child under age 17.   The rebate phases out for adjusted gross incomes above $75,000 for single filers, $112,500 for heads of household, and $150,000 for joint filers.

The value of the tax credit will phase out over the following income ranges:

  • Single Filers: Phase-out begins at $75,000 and ends at $99,000.
  • Heads of Household: Phase-out begins at $112,500 and ends at $146,500 for a family of 2; this will be higher for larger families.
  • Married Filing Jointly: Phase-out begins at $150,000 and ends at $198,000; this will be higher for families with children.

The full length of the phase-out depends on the size of the credit.

 

How will I get the payment?

Rebates will either be provided through direct deposit or the IRS will mail a check.  Because a household’s income and circumstances for 2020 are not yet known, rebates will be issued based on taxpayers’ 2018 or 2019 reported adjusted gross income.

Web tool for non-filers:

Internal Revenue Service has launched a web tool allowing registration for Economic Impact Payments for those who don’t normally file a tax return. Please follow the guidance and instructions on the website.

  • People receiving Social Security retirement and disability benefits, people receiving Supplemental Security Income benefits, and Railroad Retirement beneficiaries with qualifying dependents will automatically receive the Economic Impact Payments. If you have qualifying dependent children under age 17, and do not normally file taxes, you may need to use Non-Filers: Enter Payment Info to claim the $500 payment per child. If you only began receiving Social Security or SSI benefits in 2020, you may need to use the Non-Filers: Enter Payment Info to have your payment sent to you.

Last Updated: April 17, 2020