Who is eligible for this payment?
- An individual US taxpayer with
- a valid social security number, and
- who is not a dependent of another US taxpayer, and
- whose Adjusted Gross Income (AGI) is below certain thresholds that vary by tax return filing status.
You can use the calculator in our website to estimate the potential value of your rebate check.
FAQs about eligibility:
- Are US citizens living abroad eligible for this rebate? Yes.
- Are green card holders living abroad eligible? Yes.
- Where in my tax return do I find my AGI to determine income eligibility? On line 7 of your 2018 1040 Tax Return or Line 8b of your 2019 1040 Tax Return
- I haven’t filed my 2018 or 2019 tax return yet. What do I need to do to get the payment? File your tax return as soon as possible.
- I’m not required to file a tax return. What do I need to do to get the payment? The IRS is working to create a mechanism to allow you to receive your payment, and it will be published on the IRS website as soon as it becomes available. Please check our coronavirus resources page for links to the relevant sites.
- What are the income thresholds? The rebate begins to phase out at $150,000 of AGI for joint filers, $112,500 for heads of household and $75,000 for all other filing statuses.
- What happens if my income is above the threshold? The credit is reduced by $5 for each $100 above the AGI thresholds until completely eliminated.
What is the payment amount?
- $1,200 per eligible adult individual
- $500 per child who qualifies for the child tax credit
FAQs about the payment amounts
- Does a married couple filing a joint return receive only one payment? Each eligible spouse will receive a $1,200 payment
- What if I file a married joint tax return but my spouse has an ITIN and not an SSN? Both spouses need to have valid SSN to be eligible for the payment. If one of the spouses does not have an SSN, both spouses would be disqualified based on the letter of the law. This appears to be an unintentional error, but since there are no Treasury Regulations yet, it is not clear how the IRS will interpret this rule.
- How do I know if my child qualifies for the additional $500 payment? Your child must qualify for the child tax credit in order to receive this additional payment. The child must be younger than 17, your dependent living with you and a US citizen with an SSN.
- Do adult dependents or full-time student dependents over the age of 17 qualify for the child rebate check? No, they don’t qualify for either the adult or child rebate payments.
How and when is the rebate going to be paid?
- By direct deposit to your US bank account. The IRS will use the bank account information provided in your latest filed US tax return
- By check mailed to the address on your latest filed US tax return if the IRS does not have your US bank account information
- The IRS is expected to start making payments before the end of April. Since the IRS is expected to process 100 million rebates and this will take time, the IRS expects to continue to make payments through September. Per the Act, no rebates can be issued after December 31st, 2020.
FAQs about the payment
- What is the fastest way to receive the payment? According to the IRS, filing your tax return electronically and providing your US bank account information is the fastest way
- Is there anything I can do if the IRS does not have my US bank account information? The Department of the Treasury has plans to develop a web-based portal for individuals to provide their banking information to the IRS online. There is no information about this portal yet. Check the IRS coronavirus page for updates.
- Can the IRS deposit my rebate in a foreign bank account? No, if you do not have a US bank account, you will be issued a US Treasury Check
- The address on my last tax return is outdated. Is there anything I can do? As long as the IRS has your bank account information to deposit the rebate, an outdated address should not be a problem. If you expect to receive a check, the easiest way to update your address is by filing your 2019 tax return electronically with your updated address.
- Will the checks be mailed to a foreign address? Yes
- Do I need to file a tax return to receive the rebate if I don’t normally file because my income is too low?
- If you receive social security or disability payments, you do not need to file. But if you have other sources of income, such as foreign social security or wages, you will need to file a tax return to receive the rebate.
Until the next post!
Marina