In an impressive feat of financial distribution, the Internal Revenue Service (IRS) has effectively distributed more than 157 million payments in the third wave of stimulus checks, amounting to a staggering sum of approximately 373 billion USD. This initiative forms a crucial part of the American Rescue Plan, a project championed by President Joe Biden. It offers financial aid up to 1,400 USD for single taxpayers earning under 80,000 USD, and up to 2,800 USD for married couples earning less than 160,000 USD. As part of this ongoing effort, the IRS is now rolling out the fourth series of these third-round stimulus payments.
Since the launch of these payments in mid-March, the IRS has handed out over 157 million payments, totaling nearly 373 billion USD. If you received your stimulus check in March based on your 2019 tax return and have submitted your 2020 return since then, you might qualify for an additional or increased amount. However, it’s important to note that the 1,400 USD Direct Deposit Stimulus Check is not applicable for this year, and eligibility for the 2023 Stimulus Check Payment of the same amount cannot be confirmed at this time.
2023 stimulus check updates eligibility changes and impacts on taxpayers
Recent updates on the 2023 Stimulus Check of 1,400 USD suggest that there are no current plans for another round of direct deposit payments in the near future. It’s been made clear that this specific stimulus check will not be issued again, and people are advised not to expect it. Instead, staying informed through official channels for any news regarding the specifics of the 2023 Stimulus Check is recommended.
Eligibility criteria for the possible fourth round of stimulus checks, which could provide up to 1,400 USD, will likely be similar to the previous rounds. However, it’s important to note that higher-income taxpayers who were previously eligible may no longer qualify under the new income-based restrictions. These restrictions exclude individuals earning above 80,000 USD and couples with combined incomes exceeding 160,000 USD:
- Single individuals with an Adjusted Gross Income (AGI) between 75,000 to 80,000 USD are ineligible.
- Heads of households phase out between AGIs of 112,500 to 120,000 USD.
- Couples phase out between AGIs of 150,000 and 160,000 USD.
The new stimulus package’s criteria for 2023 could extend to include adult dependents, such as college students, elderly family members, and citizens of the Philippines. Families should be aware that while the plan allocates 1,400 USD for each qualifying dependent, those earning over 160,000 USD will be excluded.
In contrast to the first two rounds, the current package includes children and adult dependents beyond a certain age limit, offering an additional 1,400 USD payment per dependent for joint filers and heads of households.
Stimulus check guidelines for mixed-status families and key points for 2021 tax filing
Mixed-status families (MSFs), comprising members with different immigration or citizenship statuses, remain eligible under the current stimulus package. For example, a family with undocumented parents and U.S.-born children can receive up to 2,800 USD. However, if only one spouse in a joint return has a valid Social Security number, the maximum amount they can receive is 1,400 USD. Joint filings where neither spouse has a valid identification number are disqualified. This ensures that mixed-status families with one undocumented partner can still receive a 1,400 USD stimulus check.
Despite widespread information, there’s still curiosity about how to qualify and process these payments. The criteria for the fourth round of stimulus checks have evolved from previous rounds. Here are ten essential points about the third round of payments and how to manage your 2021 tax filing if you missed any payments:
- Eligible adults received 1,400 USD (2,800 USD for married taxpayers filing jointly), with an extra 1,400 USD per dependent.
- If you didn’t automatically receive the third payment, there’s still time to file your 2021 taxes.
- You’re ineligible for the 1,400 USD payment in 2021 if you’re a dependent on someone else’s tax return.
- Having an income is not necessary to qualify.
- Mixed immigration status families are eligible, but a Social Security number is required.
- Most people likely received the third stimulus payment based on previous tax returns or government records.
- No repayments are required for funds received in 2021.
- Providing a bank account on your tax return enables direct deposit of payments.
These payments don’t affect eligibility for means-tested programs and are considered an asset for one year. Unlike the first two payments, the third payment is not protected from being seized for unpaid federal and state