If a second stimulus payment occurs, here is who might not receive money

With Congress on a tight deadline for come to an agreement on another economic relief bill before the end of the year, those who have qualified for a payment the first time must prepare for the possibility that their personal circumstances have changed in a way that makes them ineligible a second check (or a smaller one). It’s also possible Congress could agree to new rules that change who will and cannot get another check.

For example, legislators have already presented several proposals for a second check this would substantially change who would or would not qualify for another payment, depending on their economic situation. We will go over the requirements that we are currently aware of that could prevent you from getting another payment.

A word before we begin, however. We won’t know the whole final requirements rules, IRS payment schedule or the size of the check you might receive, so until a deal is struck, read this outline as a potential direction in which a future bill could go. There are signals that certain conditions may change, and that might help you end up with a bigger check.

Here is the current lay of the land regarding what might change the requirements, perhaps in your favor. And if the second round of the stimulus payout doesn’t happen, here are some other ways benefit from a recovery program. We update this story frequently.

Single taxpayers who exceed the income limit

Your adjusted gross income, or AGI, is the amount of money you earn in one year less approved deductions. The IRS used your AGI to determine if you were qualified for all, some or none of the $ 1,200 incentive check. Under the CARES Act, your AGI threshold as a single taxpayer was $ 99,000 per year to be eligible for a stimulus payment. If you made more than that from a paycheck or other assets, like stocks, the IRS wouldn’t send you a check.

If you make between $ 75,000 and $ 95,000, however, you’ll receive part of the check, and so will a second payment if the income rules don’t change. Here is how to calculate how much money you could earn.

Read more: Want your stimulus checked faster? Do these things now

Heads of household who declared an AGI greater than this amount

Like the single taxpayer threshold, heads of household (people who do not jointly declare and who claim a dependent) with an AGI greater than $ 146,500 have also been excluded from the CARES Act – unless you qualified thanks to a flaw. To get some of the stimulus money, you would need to earn less than $ 146,500. To get the full amount, your AGI should be less than $ 112,500 as the head of household.

Married couples considered high income

If you are a married couple and have an AGI greater than $ 198,000, you likely won’t be eligible for a second incentive payment unless your children create a situation. this seems to be an exception. To get the full payment of $ 2,400, your joint AGI should be less than $ 150,000. The amount you could receive will decrease if your AGI is between $ 150,000 and $ 198,000.

To determine your adjusted gross income, locate your 2019 tax slip. You will find your AGI on line 8b of the 2019 federal tax form 1040. If you did not file a tax return in 2019, search for your tax document of 2018 and go to line 7.

Not sure: adolescents over 16 and students under 24

When the first set of stimulus checks were sent out, millions of young Americans were excluded from paying – with these exceptions. Those who were between 17 and 24 years old and who were also declared dependent children did not receive a check due to a child’s tax code definition. So if you are 17 or older, you are not considered a child under the CARES Act, even if you still live at home.

While the House of Representatives passed a proposal which includes $ 500 in stimulation funds for any person declared dependent, regardless of their age, the most recent proposal from the White House would keep the definition in the CARES Act, but increase the amount from $ 500 to $ 1,000. Even then, if someone declares you to pay their taxes, you will not get a check from you. Now that former Vice President Joe Biden is president-elect, it looks like the current White House administration is no longer supporting this version of the relaunch proposal.

Uncertain: people qualified as “ non-resident aliens ”

If you are a non-resident alien, you may not be eligible for a second dunning test. The government defines a non-resident alien as someone who “has failed the green card test or the substantial presence test.”

Note that you no need to be a US citizen to receive the first stimulus payment. Non-citizens, however, must have a Social Security number and live and work in the United States to receive a stimulus check under the CARES Act.

Democrats revised proposal for the Heroes Act of October 1 would extend stimulus checks to a group of people who are not U.S. citizens and pay U.S. taxes, with a taxpayer identification number provided by the IRS.

Your spouse has the status of non-resident alien – what now?

If you are married to someone who is considered a non-resident alien, you could not receive the first stimulation test for yourself or money for your dependents if you file your taxes jointly – even if the eligible parent and child are citizens of the United States.

Currently, to receive a stimulus check, you both must have a Social Security number or be a member of the United States Armed Forces during the tax year. If you file your taxes separately, the citizen may be eligible for a full or partial stimulus payment. The same is true for U.S. citizens who claim their dependent children (as the head of household) on a separate non-citizen spouse tax return.

If you are behind on child support payments (this may change)

With the first stimulus check, if you were late on child support payments up to $ 150, the government gave states right to garnish what you owe. For example, if you owed $ 2,000, your entire stimulus check was paid to your child’s other parent. If you owed $ 500, that amount was taken from your stimulus check.

The next stimulus bill could include the same language, depending on which one passes. The Democratic proposal would ban seizing money to pay missing child support, while the HEALS law drafted by a republican would retain this requirement.

Under legal review: people in prison or in prison

Initially, incarcerated people were considered by the IRS to be eligible for a stimulus check, but then they were interpreted as ineligible. But a ruling by a California federal judge allows inmates to file the first stimulus payment online before Nov. 21, noting that the CARES law does not explicitly prohibit this group.

The IRS appealed the decision but sent documents to jails for inmates. It is not known whether those incarcerated will receive a second stimulus check, even if they received the first, and it may depend on the wording of the successful stimulus bill or the final ruling on the pending case.

People who have died since the previous tax return

The IRS “sent nearly 1.1 million payments totaling nearly $ 1.4 billion to deceased people,” according to the US Government Accountability Office, before requesting reimbursement (process back here).

If a person has died since the previous tax return, current IRS guidelines say they are not currently eligible to receive a check and their family cannot keep the money in their name – for example , if the deceased declared his taxes jointly with a wife. If by accident a check is addressed to them, the IRS expects the family to return the payment, although they are not legally required to do so.

It’s unclear if families could collect a second stimulus check on behalf of someone who has died, for example, from COVID-19. However, there is precedent in this regard. Families were able to keep stimulus checks from the 2008 economic crisis in the event of death, according to ProPublica and CNBC.

There may also be exceptions, such as if the deceased person died in 2020, Janet Holtzblatt, senior researcher at the Center for Tax Policy, said in April. The Bureau of the Fiscal Service has canceled unpaid stimulus payments to anyone who is not eligible – including those who died before the checks were received.

If you’re still not sure if you’ll be eligible for the next stimulus payment, here’s who can qualify for a second raise check. As well, you may not get a dunning check if you move and forget to file a change of address. More, here’s when the IRS could send the second check, if approved.