Stimulus payment adjustments are still going out to people whose 2020 taxes show they lost income

The Internal Revenue Service reports it has distributed additional stimulus cash to millions of people who lost income during 2020 and qualified for more than they had originally received.

Known as “plus-up” payments, the money goes automatically to people whose 2020 tax returns show they missed out when the first two rounds of checks — which were sent based on 2019 tax filings — went out.

More than 1 million of these payments have gone out over the past two weeks, totaling $2.5 billion. The IRS said it has delivered more than 8 million of the supplemental payments this year.

Another 900,000 payments went out over the past two weeks to people whom the IRS did not previously have enough information for but who recently filed tax returns. Many of those are very low-income people who aren’t normally required to file tax returns because their incomes fall below the filing threshold. They were encouraged to file this year to claim the stimulus money they are eligible for.

The IRS will continue to send out “plus-up” payments to those who recently filed tax returns on a weekly basis. More than 169 million households have received stimulus money this year to date.

Who gets a third stimulus payment?

The third round of payments, which was authorized by Congress in March, are worth up to $1,400 per person and expected to reach 85% of households, according to the White House.

Families will receive an additional $1,400 per dependent, so a couple with two children could get up to $5,600. Unlike prior rounds, families will receive the additional money for adult dependents over the age of 17.

The full amount goes to individuals earning less than $75,000 of adjusted gross income, heads of households (like single parents) earning less than $112,500 and married couples earning less than $150,000. Then the payments gradually phase out as income goes up.

Individuals who earn at least $80,000 a year of adjusted gross income, heads of households who earn at least $120,000 and married couples who earn at least $160,000 are completely cut off — regardless of how many children they have.

More cash on the way for families with children

The latest pandemic aid package also increased the size of the child tax credit and called for it to be sent out in periodic payments that will begin to go out on July 15.

The IRS has started sending letters notifying more than 36 million families who, based on tax returns, may be eligible for the child tax credit payments. Most won’t have to do anything to receive the money, which will be based on information provided on the 2020 or 2019 tax returns. An online portal will be made available later in the summer that will allow families to update information regarding their incomes, number of children and bank accounts.

Those payments will technically be an advance on a 2021 tax credit. Eligible parents will receive $3,600 for each child under 6 and $3,000 for each child under age 18. Until now, the credit was up to only $2,000 per child under age 17. At least half of the amount will go out over the summer and the remainder will be lumped in with next year’s tax refund.

The enhanced portion of the credit will be available for single parents with annual incomes up to $75,000 and joint filers making up to $150,000 a year.

Congress also made the child tax credit fully refundable so more low-income families can benefit. Previously, if the credit exceeded the taxes owed, parents could receive only up to $1,400 as a refund. These households also must have earned income of at least $2,500. The change could make 20 million more children eligible.

Blogs

Join WOGB and Give the Gift of Life!

Join WOGB and Give the Gift of Life!

  Please join us for another WOGB We Only Give Back Blood Drive and help give the gift of life! There is a critical need for blood and we’re doing our part by teaming up again with Green Bay Distillery on Wednesday, July 7th from 1pm to 6pm. You can get signed up to donate by clicking HERE. If…

Wake up with Rachel Williams and WOGB

Wake up with Rachel Williams and WOGB

Rachel will start you day with all you need to make it GREAT!  Local updates, celebrity scoop and of course Green Bay’s Classic Hits!  So does it with a smile and her very own Green and Gold Style!  6 AM to 9 AM each Weekday on WOGB!

The WOGB Artist of the Month for June….Styx!!

The WOGB Artist of the Month for June….Styx!!

June!!!!  Summer Fun and Summer Classic Hits!  Green Bay’s Classic Hits 103.1 WOGB playing the best and biggest hits of all time!  This month we are featuring an artist who’s biggest hits cover 2 decades!  Listen all month as we feature the songs of Styx!  They are the WOGB Artist of the Month!  You’ll also…

This Year’s Catfish Concert in Greenville is Gonna ROCK…..July 10th!!

This Year’s Catfish Concert in Greenville is Gonna ROCK…..July 10th!!

WOGB is proud to welcome Styx, .38 Special and Great White to Greenville July 10th for the Catfish Concert!  This is gonna be one of the first concerts in….over a year! Get your tickets and we will see you there!!! Tickets are on sale now! www.ticketstaronline.com Tickets sold at local Festival Foods, Fox Convenience Centers…