As of May 8, 2020, the Internal Revenue Service (IRS) had issued about 130 million direct payments to Americans — totaling more than $200 billion — to help mitigate the financial burden of the coronavirus (COVID-19) pandemic. Those payments, known as Economic Impact Payments, are a key provision of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Overall, the IRS expects to send about 150 million payments at a cost that the Joint Committee on Taxation estimates will total $292 billion through 2021.
Payments are based on a taxpayer’s adjusted gross income, filing status, and number of qualifying children (some people who don’t normally file taxes are also eligible). Taxpayers receive a payment of $1,200, or $2,400 for those filing jointly, plus $500 per qualifying child. However, those payments gradually phase out for incomes above $75,000 for single taxpayers, $112,500 for taxpayers filing as head of household, and $150,000 for married couples filing jointly. Taxpayers would be ineligible for any payment, unless they have a qualifying child, above the following income levels:
Those income thresholds would increase by $10,000 for each child.
The IRS will send the remaining 20 million payments to taxpayers over the coming weeks. The payments are automatic for those who filed a tax return in 2018 or 2019 and for those who receive certain federal benefits such as Social Security. The agency encourages those who have not received an automatic payment to visit their “Get My Payment” tool.
The interactive map below shows the number, and total amount, of payments sent to taxpayers by state through early May.Learn more about the various policy measures that Congress has taken thus far to address the coronavirus.
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