The American Rescue Plan fulfills the Democratic promise to provide families with an additional direct payment of $1,400 to help them recover from the devastating impacts of this deadly virus.
ECONOMIC IMPACT PAYMENTS
The American Rescue Plan provides working families an additional Direct Payment of $1,400 Per Person – bringing the total relief payment to $2,000 per person
In December, Congress enacted a Covid relief package that provided a direct payment of $600 per person. The American Rescue Plan Act builds on that down payment, providing another $1,400 per person. The bill uses the same income threshold as previous legislation to determine which individuals receive the full $1,400 payment, before the phase-out begins.
If you made less than $75,000 in 2019 or 2020, you will be eligible for the full payment of $1,400. Couples who filed jointly and made less than $150,000 will get $2,800, and parents will be eligible for a $1,400 payment for qualifying children in the household.
If you made between $75,000 and $80,000 in 2019 or 2020, are a head of household with income between $112,500 and $120,000, or are a married couple with incomes between $150,000 and $160,000 you will receive a partial benefit. The payment decreases to zero for an individual making $80,000 or more or a couple making $160,000 or more.
Unlike the two prior direct payments, families can receive the $1,400 for dependents over age 16, such as elderly or disabled relatives, college students, or 17-year-olds.
If you’ve been working and filing taxes since 2018, you do not need to sign up or fill out a form to receive your payment. If you have provided bank information to the IRS in the last two years, that's where the money will be sent. If not, the IRS can mail a check to your "last known address," and it has 15 days to notify you of the method and amount of the payment. They will send a phone number and appropriate point of contact so you can tell them if you did not receive it.
The IRS warns against scams and fraudulent attempts designed to steal money and personal information from taxpayers. You can learn more to help protect against these scams by visiting the IRS website here: https://www.irs.gov/compliance/criminal-investigation/irs-criminal-investigation-warns-taxpayers-about-new-wave-of-covid-19-scams-as-second-round-of-economic-impact-payments-are-delivered