Biden Agrees to Lower Income Cap for Stimulus Checks
President Biden and Senate Democrats have agreed to tighten income limits for receiving the $1,400-per-person stimulus checks included in the $1.9 trillion American Rescue Plan, according to an Associated Press report.
CNBC, citing a Democratic source, says the phaseout, which starts at $75,000 for single filers, now would be capped at $80,000. The phaseout starting at $150,000 for joint filers now would be capped at $160,000. For heads of household, the phaseout starts at $112,500 and would now be capped at $120,000. The $400 weekly unemployment insurance benefit is expected to remain in the bill.
“I’m tired of compromising on basic progressive values. We must do everything in our power to give Americans a raise,” Rep. Ro Khanna tweeted after the news broke.
The direct payment of $1,400 per person in Biden’s plan would supplement the $600 Congress approved as part of the second stimulus.
The phaseout has been one of the sore issues in advancing the bill.
Biden said last month that there’s a need “to target that money. So, folks making $300,000 don’t get any windfall.”
Republicans — as well as some Democrats, including West Virginia Sen. Joe Manchin — have been pushing to lower the eligibility criteria. During the vote in February, Manchin, along with Republican Sens. Susan Collins, Mitt Romney and 13 others, introduced an amendment to the bill to “establish a deficit-neutral reserve fund relating to targeting economic impact payments to Americans who are suffering from the effects of COVID-19, including provisions to ensure upper-income taxpayers are not eligible,” according to the amendment.
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