Rd Stimulus Checks: Social Security Recipients Could See Faster $1400 Payments As Data Is Turned Over To Irs
by: Michael Geheren, Nexstar Media Wire
WASHINGTON The Social Security Administration transmitted payment information for nearly 30 million to the IRS to get stimulus checks out the door after several Congressional leaders said they were alarmed at the lack of payments.
Beneficiaries of Social Security, SSI , Veterans Affairs and Railroad Retirement Board havent received their third checks and still have no estimated timeline on when they will get payments.
Already about 90 million people have received their third wave of stimulus checks, according to a joint letter to the heads of the Internal Revenue Service and Social Security Administration.
However, we were alarmed to learn recently that most Social Security, SSI, RRB, and VA beneficiaries who are not required to file a tax return have not yet received their payments and that the IRS is unable to provide an expected timeline for these payments, said Reps. Richard Neal , John Larson , Bill Pascrell and Danny Davis in the letter sent earlier this week.
On Wednesday, the group sent a follow-up letter to Social Security Administration Commissioner Andrew Saul after learning the agency hasnt sent the necessary payment files to the IRS, delaying the payments of nearly 30 million people.
The SSA responded at 8:48 a.m. , according to the Congressional leaders, saying they had sent the info to the IRS.
They also praised the work of SSAs public servants.
Why Are Social Security Veterans And Other Federal Beneficiaries Waiting For $1400 Stimulus Checks
The issue with the payments came to the attention of lawmakers prompting the House and Ways Committee to inquire with the Internal Revenue Service and the Social Security Administration . They discovered that the IRS had not yet received payment files from the SSA that the tax agency needed to send out the $1,400 direct stimulus payments. This prompted the committee to give the SSA a 24-hour ultimatum to send the files and the SSA complied.
The Social Security Administration responded that it had been working tirelessly with our counterparts at IRS to provide to them the information they need to issue payments to our beneficiaries. The SSA in the statement said that it had managed to send the IRS the necessary information a week earlier than during the first round of payments last year.
The statement explained that part of the reason for the delay was the need to update the files the IRS will use as to protect the integrity of the EIP program. adding Social Security employees have literally worked day and night with IRS staff to ensure that the electronic files of Social Security and SSI recipientsare complete, accurate, and ready to be used to issue payments.
IRS projects stimulus payments to non-filer Social Security and other federal beneficiaries will be disbursed later this week –
Rep. Danny K. Davis
If Someone Else Oversees My Federal Benefits Account How Will I Get My Stimulus Check
If someone, also known as a representative payee, helps manage your Social Security benefits on your behalf, that person — a relative, friend or someone appointed on behalf of an organization — should discuss your benefits with you, the beneficiary. That’s according to guidance from the Social Security Administration. So if you’d like to use your money, the person managing your account should provide you with the stimulus payment.
“Your Individual Representative Payee should have received your EIP to the same direct deposit account or Direct Express card as your monthly Social Security or SSI payment,” the SSA says on its site. “For an Organizational Representative Payee, the payee likely received the EIP electronically or by paper check in the mail.”
The SSA says representative payees aren’t required to account for the stimulus payment when they complete their annual accounting form, as it’s not considered a Social Security benefit.
You could be missing out on more stimulus money.
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‘payment Status Not Available’
If you are getting “Payment Status Not Available” from the IRS stimulus check tracker — don’t be alarmed.
According to the IRS, if you receive that message it can mean one of three things:
- You are not eligible for the payment.
- The payment has yet to be processed
- The IRS doesn’t have enough information to issue the payment to you
The agency said it will continue to issue the 2021 Economic Impact Payments throughout 2021.
How Is The Third Stimulus Check Calculated
The stimulus plan mandates the treasury to rely on 2019 and 2020 tax returns to calculate how much you could get for the third round of stimulus checks.
Congress approved limits based on adjusted gross income ranges. This means that taxpayers making less than the minimum threshold could get the full stimulus check, while those earning above it get reduced payments until they are fully phased out at higher incomes.
You can find your AGI on IRS form 1040. This is calculated by subtracting deductions like student loan interest, health savings account payments, and contributions to a traditional IRA from your gross income.
By contrast, your gross income is the total amount of money that you made during the tax year, including wages, dividends, capital gains, rental property income and other types of revenue.
Your 2019 taxes had to be filed by July 15, 2020. And your 2020 taxes are due by the extended deadline of May 17. You can read more about when to file your tax returns for the third stimulus check, and other IRS requirements in two tax sections below.
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Can My Stimulus Payment Be Garnished
Like the last stimulus check payments the third stimulus check cannot be offset to pay various past-due federal debts or back taxes. This does not apply to child support payments that are in arrears. If youre behind on child support your stimulus check can be fully or partially garnished either wont get a stimulus check or will receive a reduced one.
Will I Get The Dependent Bonus For A Newborn
If you had a baby in 2021 and meet the rest of the eligibility criteria, you can claim the additional $1,400 per child when you file your 2021 taxes.
If you had a child in 2020 and your return has been processed, you should automatically get the additional payment. If you haven’t yet filed your 2020 taxes or they haven’t been processed by the IRS by the time the payments are issued, you can claim the dependent bonus on your 2021 taxes
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If I Owe Back Child Support Will I Still Get A Payment
Yes. If you or your spouse owes back child support, your stimulus payment cannot be garnished to pay that debt. The same is true if you owe federal or state debts: your stimulus payment cannot be garnished. Your payment wont be levied by the IRS, either.
Although the second and third stimulus payments cant be garnished for unpaid child support, the amounts can be garnished if you dont get money up front and need to claim the credits on your taxes.
Will I Be Able To Call The Irs With Issues
You will need to wait for the IRS to finish normal processing of the recovery rebate payments . Until then you will have to rely on the Get My Payment IRS tool to track the status of your payment. And given the IRS will be closing out 2021 tax season and refund processing, I expect will be very challenging to get through to an IRS agent to speak about your missing or delayed payment.
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Will My Stimulus Check Arrive As An Eip Card
The IRS projects that 5 million stimulus payments will be made by Economic Impact Payment debit card, but checks going out to Social Security recipients won’t take the form of an EIP card. According to the SSA support website: “The IRS does not plan to issue prepaid debit cards to beneficiaries for this third round of EIPs … The Social Security Administration does not administer the EIP debit card program, and did not decide who received an EIP debit card instead of a paper check.”
When Will Social Security Recipients Receive Their $1400 Payments
There still hasnt been word from the IRS or the US Treasury on when the payments will be sent. The IRS has said that the vast majority of payments would be made through direct deposit but to be aware that you may receive your money in a different form of payment this time than with the second check.
Besides direct deposit people may receive payments as a physical check or a preloaded debit card The second batch of payments was sent out on 24 March, with the intention of sending out weekly batches throughout 2021.
Since the 3rd round of Economic Impact Payments includes more mailed payments, #IRS urges people to carefully watch their mail in the coming weeks. If youre still waiting for your payment, see #COVIDreliefIRS
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What To Do If You Havent Gotten A Stimulus Yet
There are several reasons why a stimulus check may be missing. The most likely reason is if you havent yet filed your 2020 taxes.
In some cases, you may receive a letter from the IRS confirming the payment was sent out. However, if you didnt receive the money, you may have to contact the IRS to request a payment trace to see what happened. You can also check the get my payment module on the IRS website to see what the status of your payment is if you qualify but still havent gotten the money you deserve.
What Should I Know If I’m Not Currently Living In The Us
If you’re a Social Security beneficiary with a foreign address whose monthly benefit is deposited in a foreign bank account, you should receive your third stimulus payment through either direct deposit, Direct Express card or a check in the mail, according to the SSA . The IRS began sending out payments to this group through direct deposit and Direct Express card on April 21, and began sending paper checks in the mail for this group on April 23
If you live abroad but receive your monthly benefits through a US bank, you should have received your first two payments by direct deposit to that account. If you still haven’t gotten your money, it will have to be claimed as part of a tax return. Find out everything you need to know about stimulus checks, citizenship and living abroad here.
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How Can I Get Missing Economic Impact Payments And Claim Other Refundable Tax Credits
Date: November 18, 2021
The IRS and the Department of Treasury provided an online Non-Filer Sign-up Tool as a convenient way for people who do not ordinarily file a tax return with the IRS to claim advance CTC payments and missing stimulus payments, or EIPs. The November 15, 2021 deadline to use the tool has passed.
Filing a 2021 Federal tax return in 2022 will allow families eligible to claim the 2021 CTC to receive their remaining benefit. Most families who received advance CTC payments only received half of the value of their credit.
If you didnt file a tax return for 2020 and you did not use the sign-up tool before the deadline passed, you can still claim your full CTC and any amount of the EIPs provided in the American Rescue Plan that you are eligible for but have not yet received, by filing a 2021 Federal tax return in 2022.
When Will The Payments Go Out For Federal Beneficiaries
On Tuesday, in a press release, the IRS said that $1,400 Economic Impact Payments or stimulus checks, would begin to be sent out payments at the end of the week. They expect the majority of Social Security recipients and other federal beneficiaries who do not normally file a tax return would receive their payments electronically 7 April.
Veterans may have to wait even longer though. In the statement the tax agency said it is still reviewing the data received from the VA. However, the IRS expects to determine a payment date soon with details following. The preliminary date for EIP payments to VA beneficiaries who do not regularly file tax returns is mid-April according to the IRS.
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Which Tax Return Is Used For My Third Stimulus Check
The IRS uses 2019 or 2020 tax returns to determine eligibility for your third stimulus check. You should note that if your income fell in the 2020 tax year, filing your tax return earlier could help you qualify for a bigger third stimulus check. The new stimulus plan targets lower income ranges to exclude higher-earning taxpayers from getting a payment.
As we pointed out before, individuals making under $75,000 get the maximum stimulus payment of $1,400 . But payments are capped at $80,000 for single filers and $160,000 for couples. So filing at the beginning of the tax season with a lower income may help you qualify for a bigger check. But, if your income went up in tax year 2020, then you may want to delay filing so that eligibility is determined by your lower 2019 income.
You might also want to file early if the size of your family increased in 2020. The new stimulus plan includes a child tax credit that pays up to $3,600 for each qualifying child under 6 years old, and $3,000 for every child between ages 6 and 17. This means that if you became a parent during the tax year, you could get an additional payment by claiming your child as a dependent earlier.
SmartAssets child tax credit calculator will help you figure out how much you could get for each child.
You can use SmartAssets tax return calculator to figure out your 2021 tax refund or tax bill.
Social Security Recipients To Get Delayed Third Stimulus Checks After Ssa Sends Data To Irs
Nearly 30 million people who receive Social Security or Supplemental Security Income benefits have been waiting to get a third stimulus check because the Social Security Administration failed to send critical information to the IRS. Fortunately, that wait should come to an end soon, now that the SSA has finally forwarded the necessary data to the tax agency.
Where Are Stimulus Checks For Veterans Social Security Recipients Ssi And Ssdi
The IRS is also now processing third stimulus check payments for this group of recipients and their dependents, following several weeks of delays. This was mainly attributed to in getting updated payment and dependent data from other federal agencies . The majority of SSI and SSDI recipients should have now started seeing stimulus payments hitting bank accounts, with mailed checks and debit cards arriving in the coming weeks. But it would not surprise me if their newly eligible dependent payments take even longer to get paid out.
For those Social Security and other federal beneficiaries who didnt file a 2020 or 2019 tax return and didnt use the Non-Filers tool last year, payments will start as part of batch 3 and 4 processing . The IRS is also making stimulus payments for Veterans Affairs benefit recipients with the GMP tool now showing payment status for this group of recipients.
Why Are There Delays In Disbursing Money For The Third Stimulus Check
When asked why the office did not provide the IRS earlier with information on Social Security and Supplemental Security Income recipients, the entry explains that officials are guided by the Social Security Act, which sets out how trust funds are distributed and how the processes are carried out.
As a result of our efforts, we successfully signed the reimbursement agreement and Memorandum of Understanding less than a week after the approval of the American Rescue Plan on March 17. That process usually takes weeks or even months to complete, but we finished the job in a matter of days. A few days later, on Monday, March 22, we sent the initial test files to the IRS. The IRS confirmed on March 24 that our files and processes were fine. The very next morning we sent the IRS the complete set of actual files. We completed this process more than a week earlier than we were able to provide a similar file to the IRS during the first round of Economic Impact Payments , reads the response on SSA.gov.
How Can I Get The Right Amount Of Stimulus Money For My Dependents
The third stimulus check changes the rules and makes dependents of all ages eligible for up to $1,400 each toward the household’s total payment. That includes older adult relatives and college-age children. However, some beneficiaries with dependents will need to file a 2020 tax return to receive the $1,400 per dependent, so that the IRS knows how many dependents you claim.
“People in this group should file a 2020 tax return to be considered for an additional payment for their dependent as quickly as possible,” the IRS said in a March 22 press release.
There are ways you could get more money with the third check and things to know if you had a baby in 2020. There are also tax breaks for anyone caring for children and older adults, and details on whom the IRS counts as an adult to receive their own stimulus check.
For the first stimulus check approved under the CARES Act in March 2020, qualified people with dependents age 16 or younger were eligible for up to $500 per child dependent, but not everyone actually received that extra money. For the second stimulus check, as long as your children were 16 years old or younger, they contributed $600 toward the final total of your household’s second stimulus check.