The $600 per person, which is half the $1,200 that was directed to most adults in March, should be distributed to bank accounts next week, said Treasury Secretary Steven Mnuchin in a televised interview on Monday. In March, when the CARES Act was passed, it took just over two weeks for the Internal Revenue Service (IRS) to distribute the initial payments to people.
He stated: “IRS expects to send direct deposits before Dec. 31, paper checks/debit card $$ between now & Jan 15 at 10 million per week, all payments by 1-15, if no payment/wrong amount, claim it on 2020 tax return, file early/electronically.”
According to the language of the stimulus and omnibus bill, married couples who file jointly stand to receive $1,200, while certain eligible children will receive $600—which is $100 more than the $500 doled out to them in March’s bill. Adult dependents will not be included.
Full payments will be sent to individuals who make up to $75,000 in adjusted gross income, heads of households who make $112,500, and married couples who make $150,000 or under. The $600 payments are gradually reduced for people who make more money than the aforementioned thresholds.
The caps are lower because the stimulus payments are less, meaning that individuals who made $87,000 and couples who made $174,000 last year won’t get a payment. The CARES Act’s stimulus payments were reduced to zero for people who made in excess of $99,000 and couples who earned more than $198,000.
Those who used the IRS non-filer tool earlier this year because they do not typically file tax returns will get the $600 payment.
“People are going to see this money [at] the beginning of next week,” Mnuchin said during an interview with CNBC Monday. “Much needed relief—and just in time for the holidays.”
