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Who qualifies for third $1,400 stimulus check?

Who qualifies for third $1,400 stimulus check

The Biden Administration’s version of the $1.9 trillion stimulus plan passed the federal House of Representatives on Saturday.

While the $1,400 stimulus checks contained in the Biden Administration’s “American Bailout Plan” is not the only aid in the package, it is among the most anticipated, not least because of the speed with which it is expected to reach the pockets of recipients.

Provisions for a third round of direct payments that are part of the $1.9 billion plan provide that the base amount will be $1,400 not only for individuals but for each independent with no limit on the amount.

Individuals with adjusted gross income (AGI) of $75,000 or less, and $150,000 in the case of married couples, will receive the full $1,400 payment plus the same amount per dependent.

After those thresholds, payments will begin to be gradually reduced to $100,000 per year for individuals and $200,000 for couples, who would receive no payments at all.

In the case of female heads of household, they will see their check reduced if they have income over $112,500, and will not receive funds if their earnings exceed $150,000.

More money for dependents in third stimulus check

The third round of stimulus checks will mean much more money for millions of American families, as adult dependents will be eligible for the first time.

A report by the American Enterprise Institute estimates that an additional 26 million people, primarily college students and disabled adults, would be eligible for funds under the new provision.

To calculate how much money each beneficiary is entitled to, the Internal Revenue Service (IRS) uses the most recent tax return available.

If you do not file a tax return, you must do so this year.

Therefore, if you are a non-filer or do not usually file a low-income tax return, the IRS recommends that you submit your information to the agency this year in order to process your stimulus payment.

Through the tax refund you can also apply for any payments due from past distribution rounds through the “Refund Recovery Credit”.

The version of the stimulus bill passed this Saturday in the House of Representatives will be sent to the Senate shortly for evaluation and approval.

Although no major changes are expected in the sections concerning the third check issue in that legislative body, it is necessary to wait for the discussion to advance to be certain of what will finally be approved in the upper chamber.

The expectation of the Democrats is that the final legislation will reach President Joe Biden before January 14 for him to sign it and have it go into effect.

On that date, the extra weekly unemployment benefits approved under the second stimulus bill expire.

Once Biden signs it, the IRS could begin releasing the first payments in less than a week.

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