When Will You Get Your Money?
Initially, the IRS said that payments would continue to be made until 1/15/2021 and after that, any qualified recipients who had not received their payment would need to file their tax return in order to get their payment.
At this time, the IRS has said their efile will go live by 1/25/2021. Sometimes they are able to beat that date, though. So keep watch. You may be able to efile sooner.
However, they now have revised and said that most people will now need to file their tax return in order to get the payment.
“Status Not Available” and Other Problems
The IRS has urged taxpayers to go to irs.gov and use the Get My Payment tool to find out the status. For a lot of taxpayers, the news isn’t good. Some common problems:
Money went to the wrong account.
In most cases, this had to do with H & R Block filers. The money was deposited into the H & R Block account, who then deposited it correctly in their customer’s account. If this is the case, and you didn’t receive the money, check with H & R Block. They have stated all money has been properly forwarded.
If it went into a completely unknown account, or someone else took the money (like a recently divorced spouse), you’ll probably need to wait until you file your 2020 tax return.
A check is going to be mailed.
In that case, wait. If you don’t receive the check, you will need to wait until you file your 2020 tax return.
“Payment Status 2 – Not Available”
It seems that most of the people who are getting this now are either Turbo Tax or H & R Block clients. In the case of Turbo Tax, it appears that you will need to file your tax return to get the Economic Stimulus payment.
In the case of H & R Block, it appears that most of that has been corrected by H & R Block and the funds were forwarded.
What If You Didn’t Get Either Stimulus Payment?
If you didn’t receive either stimulus payment #1 or #2 there are a number of possible reasons why:
Your income was too high. For a single taxpayer who had an Adjusted Gross Income (AGI) over $99,000, here was no stim payment. Married filing jointly, had double that amount as a threshold.
For the first stim payment, if someone on your tax return did not have a social security number, no one got the stim payment. That was changed for the second payment. However, there will be no payment given for the person without the social security number, but everyone else who qualifies will get the payment.
Why Didn’t My Son/Daughter Get the Stimulus Payment?
Dependents age 17 and over do not qualify for the stimulus payment.
One strategy for 2020 is, if possible, have your 17+ child file his or her own tax return. That, of course, means they will need to have some kind of income. But it would also mean they would qualify to get the stimulus payment.
Before you do that, however, calculate out what the consequences will be for your own tax return. Will you pay more by making that change than the economic stimulus payments would be for your child?
Is There More Coming?
As of the blog publication (1/8/2021), we don’t know. There have been a lot of talk around $2,000 per qualifying adult and $600 per qualifying child. If it were to be increased it likely would be in total. So, if you received the 2nd payment of $600 for you, a single taxpayer, you’d get $1,400 more.
But, until it passes, we simply don’t know.
Hopefully, the IRS figures out the glitches for the direct deposit and mail-out checks and/or cards. Otherwise, it will likely be the 2021 tax return filing in 2022 before people get the money if they have to wait to file.