The Treasury announced in a reversal Wednesday, that Social Security beneficiaries who typically do not file a tax return will automatically receive the $1,200 payment. (Source: CNN)
“Social Security recipients who are not typically required to file a tax return do not need to take an action, and will receive their payment directly to their bank account,” said Secretary Steven T. Mnuchin.
This is updated from the initial guidance included in the Stimulus Bill where the IRS said everyone need to file some sort of tax return.
Now, the IRS will use the information on the Form SSA-1099 and Form RRB-1099 to generate $1,200 Economic Impact Payments to Social Security recipients who did not file tax returns in 2018 or 2019, according to the Treasury.
Recipients will receive these payments as a direct deposit or by paper check, just as they would normally receive their benefits.
Here are some other key notes of the Stimulus Bill:
·
Tax filers with adjusted gross income up to $75,000 for individuals and
up to $150,000 for married couples filing joint returns will receive the full
payment.
·
Parents with children who are 16 years old and younger will receive $500
per child.
·
If you are on unemployment assistance, you will get another $600 per
week on top of the amount your state already pays.
·
The income levels are based on tax returns for 2019. For those who have
not yet filed their taxes this year, it will be based on 2018 returns.
· The vast majority of people do not need to take any action. The IRS will calculate and automatically send the economic impact payment to those eligible.
