Second Stimulus Check Status: What Do We Know Yet
In June the unemployment rate dropped to 12.3%, which is an improvement from the 14.7% reported in April. Now, in July, coronavirus cases are peaking in several states and there is concern that the economic impact of the pandemic will still be felt. Within the next few weeks, it is expected that the Senate and House would be approving a brand new coronavirus economic relief bill that could include a second stimulus check.
In March 2020, a bill was presented by the U.S. government that might send Americans stimulus payments for providing relief for economic hardships caused by the pandemic. As you already know a stimulus check is a check that is received by a taxpayer from the U.S. government. With some cash provided to the consumers, the checks are intended to stimulate the economy.
When the people who pay tax spend this money, the consumption gets boosted and drives revenues at retailers and makers and, thus, spurs the economy. Stimulus checks are either mailed to taxpayers or equivalent tax credit is applied to their tax filing. There’s a high chance that a stimulus check 2 would be happening, as President Trump seems to support the thought.
Who would qualify for Stimulus Check 2?
Low- and middle-income taxpayers: Single taxpayers making but $75,000 annually and married taxpayers making but $150,000 annually would qualify for the complete $1,200 benefit, which begins to end as income increases. Taxpayers earning quite $99,000 (if single) and $198,000 (if married) wouldn’t receive a payment.
Families with dependent children: The pending Heroes act would expand $1,200 per child, up to $6,000 per family which was just $500 for dependents 16 and under when it was provided by The Cares Act.
College students and older dependents: The dependants who are older than 16, the Heroes Act would provide $1,200 for them. These individuals were excluded under the Cares Act.
Immigrants with taxpayer-identification numbers: The primary round of stimulus checks went bent on taxpayers with Social Security numbers, but excluded individuals who use taxpayer identification numbers. Stimulus check 2 can include immigrants who do not have green cards but pay taxes.
Who might not qualify for Stimulus Check 2?
High earners: Under the present version of the Heroes Act, single taxpayers earning but $99,000 and married taxpayers (who file jointly) earning but $198,000 would receive some level of advantages. If you create more, you will not qualify for a stimulus payment. But it is possible that income limits could change because the legislation moves forward.
Families larger than five persons: Families would actually receive greater benefits with stimulus check 2 as the Heroes Act allows $1,200 per person. This includes all of the dependent children. However, benefits go at a max of $6,000, therefore bigger families would not get payments for additional dependents.
Individuals left out under the Cares Act: The high earners were not the sole ones who were excluded from the first round of stimulus payments but also dependent children who were older than 16 years and immigrants who paid taxes but had no Green Card.
Those making over $40,000 could be excluded: On July 6, Senate Majority Leader Mitch McConnell said he’d introduce his own version of a stimulus package when the Senate returns from recess later this month, according to NBC News. At a separate event, McConnell said a second stimulus bill “could well” include direct payments to individuals and families, though he mentioned that the people who are earning less than $40,000 have been “hit the hardest.”
However, with coronavirus cases surging and many businesses being impacted, lawmakers could be pressured to send a second stimulus check to a broader group of individuals.
When can the Second Stimulus Check be expected?
The stimulus check 2 date could be coming as early as August. According to Forbes, the goal is to approve the next stimulus package on or before August 7, but that date could slip. The second stimulus check in the next few weeks is the probable timeline, and if you were eligible for the first stimulus check, you’ll also be eligible for stimulus check 2.
According to the economic advisor of White House, Larry Kudlow, the second stimulus check would be for the jobless people or the ones with low-income. The Senate is not scheduled to return from its two-week summer recess until July 20, which means that a new relief package should not be expected before then.
