Check Out: A Relief For The Americans As The Second Stimulus Check Is On Its Way: As Election day nears, there is a new hope of a second stimulus package.
Since early August, there have been negotiations about the new package between House Speaker Nancy Pelosi and Treasury Department Head Steven Mnuchin. They have agreed for a second stimulus package with more money.
With the Presidential election debate starting from next week, Americans have many questions about the bill, and it’s status.
Americans can be relieved to know that the IRS doesn’t consider stimulus money as an income. So, people don’t need to be worried about paying this next year when filling the 2020 tax return. Neither will this payment reduce your refund in 2020.
When the first stimulus bill was passed, it took the IRS and Treasury Department 19 days to send it to the recipient.
Although this time, it will be much faster. Steven Mnuchin said it would start as soon as the new legislation is signed.
In August, Mnuchin said:
“I could get out 50 million payments really quickly.”
ELIGIBILITY CRITERIA FOR STIMULUS CHECK
When we think of the second stimulus bill, we believe that the IRS will follow the same pattern. However, the eligibility criteria are subject to change. This change can be useful for Americans.
Your adjusted gross income, or AGI, plays a considerable role. Earlier children above 16 were counted to send $500 apiece toward the full check but did not receive their own money. People below the income level who did not file for taxes or received federal benefits could also get a review. So will SSDI recipients.
IRS PLANS TO SEND THE CHECKS
The three ways IRS plans to send the stimulus checks are direct deposit, paper check, and prepaid EIP debit card. The total 160 million payment breakdown is natural deposit 75%, paper check 22%, and prepaid EIP debit card 3%.
Out of the three ways, the direct deposit method is the fastest, then comes the paper check and debit card.