Your Third Stimulus Check Could Be Eligible for a Bonus Payment
Now that many 2020 tax returns have been processed, some people are eligible for a “plus-up” payment to receive more money.
If you received a stimulus check based on your 2019 tax returns, you might be eligible for more money once your 2020 return has been processed.
According to the IRS, this batch of stimulus checks includes the first of “ongoing supplemental payments for people who earlier in March received payments based on their 2019 tax returns but are [now] eligible for a new or larger payment based on their recently processed 2020 tax returns.”
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Situations that could trigger a bonus payment include:
- Your income dropped in 2020 compared to 2019.
- You had a new child or dependent on your 2020 return who was not present on your 2019 return.
These additional payments, announced on April 1, also include payments for people for whom the IRS previously did not have information needed to issue a payment but who recently filed and are eligible for a stimulus payment.
This means if you didn’t file until now, payments can still be sent out, as both 2019 and 2020 returns are still being given time to be processed. The IRS adds that payments will continue to be sent out on a weekly basis.
This particular batch includes more than 4 million payments, with a value upwards of $10 billion, the IRS claims. Two million of those payments are direct deposit payments and another two million people will receive paper check payments.
In order to help the process and ensure payments are received, the IRS is offering free tax preparation and filing for qualifying taxpayers. To qualify, you have to make $72,000 or less. The service includes guided preparation with automatic math computation, free federal tax filing on an IRS partner site and state tax filing that may, in some cases, also be free.
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