Second Round of Economic Impact Payment

Jan 20, 2021

Economic Impact Payments

The Internal Revenue Service and the Treasury Department will begin delivering a second round of Economic Impact Payments as part of the Coronavirus Response and Relief Supplemental Appropriations Act of 2021 to millions of Americans who received the first round of payments earlier in 2020.

Who is eligible for the second Economic Impact Payment?

Generally, U.S. citizens and resident aliens who are not eligible to be claimed as a dependent on someone else’s income tax return are eligible for this second payment.  Eligible individuals will automatically receive an Economic Impact Payment of up to $600 for individuals or $1,200 for married couples and up to $600 for each qualifying child.  Generally, if you have adjusted gross income for 2019 up to $75,000 for individuals and up to $150,000 for married couples filing joint returns and surviving spouses, you will receive the full amount of the second payment. For filers with income above those amounts, the payment amount is reduced. 

How will I receive my benefit?

If you received the first payment, then you probably already received the second payment either by direct deposit to your US bank account or paper check sent to your address of record.  Any taxpayers that did not receive the proper benefit in total will claim the difference when they file their 2020 tax return.  For full details, refer to the IRS website: https://www.irs.gov/newsroom/recovery-rebate-credit.

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