Wednesday, October 20

IRS: More Stimulus Checks and Unemployment Tax-Exempt Refunds Coming Next Week

The Internal Revenue Service (IRS) processes funds from various programs under the third stimulus bill.

Photo: BRENDAN SMIALOWSKI / AFP / Getty Images

The Internal Revenue Service (IRS) continues to process weekly payments for the third stimulus check of $ 1,400, so it is expected that starting this Monday, July 19, more Americans will receive money from the agency.

“Ongoing payments will be sent to eligible individuals for whom the IRS did not have information to issue a payment but who recently filed a tax return, as well as to individuals who qualify for additional ‘plus-up’ payments,” the IRS said. in a statement on June 29.

The IRS has sent more than 169 million payments worth approximately $ 395 billion since batch deliveries began on March 12 as a result of the “American Rescue Plan” approved in the US Congress.

IRS continues to issue “plus-up” payments

Much of the shipments in recent months correspond to payments “plus-up” or additional payments.

The IRS began processing the supplemental payments in early April.

In this line fall the taxpayers to whom it was issued a payment based on the 2019 tax return, but the IRS received later this year and had to make a payment adjustment based on the difference in income between the two documents.

“This batch includes the first of the ongoing supplemental payments for people who received payments based on their 2019 tax returns in early March, but are eligible for a new or higher payment based on their recently processed tax returns. 2020. These ‘additional’ payments could include a situation where a person’s income was reduced in 2020 compared to 2019, or a person had a new child or dependent on their 2020 tax return, and other situations ” , said the agency in a statement in which it announced the shipments of the “plus-up” payments.

These days are particularly intense for the IRS, as the agency not only processes payments for the third stimulus check, but also the first monthly payment under the “Child Tax Credit” (CTC) extension and refunds under the $ 10,200 exemption in payment of unemployment taxes.

These programs are also part of the third stimulus bill passed in Washington.

IRS began sending monthly checks under the “Child Tax Credit” extension

In the case of payments advanced by the CTC, the IRS issued the first one this Thursday, July 15.

For the next few months through December, the agency will send one payment per family, either by direct deposit or paper check.

The amount per family will depend on the level of income in the household, the number of children and their ages.

This year, under the passage of the law, households can get up to a maximum of $ 3,600 per child.

IRS also processes exemption refunds of $ 10,200 in unemployment tax payments

In the case of refunds under the tax exemption of $ 10,200 in unemployment compensation in 2020, the IRS sent a second batch this week that impacted 4 million beneficiaries.

This is the second installment since May when the IRS announced the beginning of the correction of tax returns to process refunds to those who earned $ 150,000 or less in gross adjusted income.

On June 4, the agency reported the delivery of some 2.8 million refunds under the tax exclusion.

These payments will continue to process until the end of the summer.

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