Taxpayer COVID-19 FAQ

Many users have questions regarding the change of the tax filing deadline and the economic stimulus payments the U.S. government is sending to American taxpayers. The following is being provided to help answer some of the most frequently asked questions. Please keep in mind, this situation is evolving and some information/guidelines will change.

REGARDING THE THIRD STIMULUS CHECK : The third stimulus check under President Biden’s American Rescue Plan provides up to $1,400 per eligible taxpayer, plus $1,400 for each eligible dependent.  According to information provided in the IRS press release the “official payment date” when taxpayers may start to see payments go out is March 17th. The tool to check your payment status, becomes available March 15th, here – https://www.irs.gov/coronavirus/get-my-payment.

As with the previous two stimulus checks, eligibility is determined by income. The full stimulus should be paid to all single filers making less than $75,000 (this is gradually phased between $75,000 – $80,000). In the case of filers who are married filing jointly, the full stimulus should be paid to those earning $150,000 or below (this is phased out between $150,000 – $160,000). As for the Head of Household, the full stimulus is received by those filers making $112,500 or less (this is phased out between $112,500 – $120,000).

Income information will be used from the taxpayer’s 2020 tax return. If a taxpayer has not yet filed their 2020 return when the checks are distributed, the IRS will look at their 2019 income. For non-filers, the IRS should process this stimulus in the same manner that they received their previous stimulus checks. There will not be a non-filer tool provided through IRS Free File for 2020.

REGARDING THE SECOND STIMULUS CHECK: The Treasury has stated that they will be sending the second stimulus checks to taxpayers in the same manner that they received their first stimulus check and/or the taxpayer should receive it with their 2020 tax refund. As of this time, they have not provided a specific timeline, but payments are expected to be delivered very shortly. You can check the status of your check by visiting – https://www.irs.gov/coronavirus/get-my-payment.  

How much will my payment be?

The amount of the economic impact payment you should receive from the government following the COVID-19 stimulus package is determined by your tax filing status and the Adjusted Gross Income (AGI) listed on either your 2019 or 2020 tax return. See the following chart for an estimate on what you can expect:

Filing Status AGI Stimulus check amount
Single
less than $75,001
$1,200 (1st check) + $600 (2nd check) + $1,400 (3rd check)
1st & 2nd Stimulous

3rd Stimulous
$75,001 – 99,000

$75,001 – 80,000
Amounts reduced for every $100 over $75,000.

Reduced by $28 for every $100 over $75,000.
Married filing jointly less than $150,001 $2,400 (1st check) + $1200 (2nd check) + $2,800 (3rd check)
1st & 2nd Stimulous

3rd Stimulous
$150,001 – $198,000

$150,001 – $160,000
Amounts reduced for every $100 over $150,000.

Reduced by $28 for every $100 over $150,000.
Head of Household less than $112,501 $1,200 (1st check) + $600 (2nd check) + $1,400 (3rd check)
1st & 2nd Stimulous

3rd Stimulous
$112,501 – $136,500

$112,501 – $120,000
Amounts reduced for every $100 over $112,500.

Reduced by $18.67 for every $100 over $112,500.
Dependents under 17* $500 per dependent (1st check) + $600 (2nd check) + $1,400 (3rd check)

Where can I enter my payment information?

For the third stimulus, the IRS will look at the distribution information on the taxpayer’s 2020 return. If no 2020 return has been filed, the IRS will then look at what was listed on the taxpayer’s 2019 return. You can find more information on this here – IRS.gov/coronavirus/economic-impact-payments

Who is eligible for the economic impact payment?

Legal residents of the United States who have filed a tax return for either of the last two tax years (2019 or 2020) or have provided the IRS with their non-filer payment information should be eligible as long as they meet the income requirements listed above and cannot be claimed as a dependent on another taxpayer’s tax return.

Do I need to file my taxes to receive the economic impact payment?

If you have filed either a 2019 or 2020 tax return, you don’t need to file anything else. 

What if I have not yet filed a 2018, 2019 or 2020 tax return?

If you have not yet filed your taxes any of these year, the IRS recommends that you file back taxes and you will have until April 15th 2021, to file your 2020 tax return.  Please note, if you have not yet filed a 2019 tax return you will not be able to use your prior year AGI to digitally sign your 2020 tax return which is necessary when electronically filing with E-file.com.

What if I do not receive my first or second stimulus?

If the IRS has not yet sent either stimulus, and you are eligible, you should be able to claim them on your 2020 tax return. 

If I only have Social Security income, am I required to file a tax return?

If the only income you receive is from Social Security you are not required to file a tax return to receive an economic impact payment.  The IRS should provide a payment to those seniors who are eligible based on their Social Security. Payments should be delivered in the same manner that the senior currently receives their benefit.

When do I have to file my 2019 tax return?

The 2019, payment and tax filing deadline was extended to July 15th 2020. You now have until this date to file your tax return.   

When do I have to file my 2020 tax return?

So far, the 2020 payment and tax filing deadline remains April 15th 2021.

My income has changed, is the government going to use my 2019 or 2020 income?

If you have filed both your 2019 and 2020 tax returns, the government should look at the income on your 2020 return to help determine your eligibility. Now, if you have not yet filed your 2020 return, then they should use the income on your 2019 tax return.

Will my economic impact payment be mailed or direct deposited?

Your payment will be sent in the same method in which you received your most recent IRS tax refund. If this was direct deposit, that is how you should expect to receive your economic impact payment. If this was a check, this is how you should expect to receive your payment. Checks will be mailed to the address on the taxpayers most recent tax return. 

What if my bank account has changed?

If you are expecting a direct deposit and no longer have access to the bank account you previously used on your tax return, the deposit should not go through. When a deposit fails, the IRS will attempt to mail the check to the address listed on your most recent tax return.  

Is the amount of payment I am going to receive based off of my total income or my AGI?

The payment amount that you will receive should be calculated based on your (AGI) adjusted gross income, not the total income you listed on your tax return. If the payment is smaller than what you believe you should receive, you will be able to claim the difference on your 2020 tax return.

Is the amount of stimulus I receive taxable?

No, this should not count as taxable income on your tax return.

For more information on the economic impact payments or how COVID-19 may impact your taxes, please visit IRS.gov/coronavirus