Third stimulus check: will there be a bonus payment?
The IRS is distributing supplementary stimulus checks, known as 'plus-up' payments, to qualifying Americans.
As part of the third round of stimulus checks, the Internal Revenue Service (IRS) is sending out supplementary cash injections known as ‘plus-up’ payments to qualifying Americans.
Newly-processed tax returns lead to 'plus-up' stimulus checks
‘Plus-up’ payments are being distributed to taxpayers whose third stimulus check had already been automatically calculated and sent out using the income information in their 2019 federal tax return, but who are now entitled to a larger check based on the earnings detailed in their recently-processed 2020 return.
Third stimulus check: how much are Americans getting?
In the third round of stimulus checks, officially known as Economic Impact Payments, individuals earning up to $75,000 a year receive $1,400 and joint tax filers on a combined $150,000 get $2,800.
Steadily smaller stimulus checks are available for higher earners up to a final phase-out limit of $80,000 a year for individuals and $160,000 for joint filers.
Heads of household with an annual income below $112,500 get the full $1,400 and are eligible for a reduced stimulus check up to a $120,000 earnings cap.
Qualifying households also get additional credits of $1,400 per dependent of any age.
700,000 'plus-up' checks sent out in latest payment run
In a statement posted on its website on Thursday, the IRS said it had distributed another 700,000 ‘plus-up’ payments, worth around $1.2bn overall, in the latest batch of third stimulus checks to be sent out as part of President Joe Biden’s $1.9tn coronavirus relief package, which was signed into law on 11 March.
The IRS had confirmed the first ‘plus-up' payments on 7 April, with over 1.2m people receiving supplementary checks worth a total of $2bn, before announcing a second batch on 14 April, with around 700,000 people receiving a total of $1.2bn.
The IRS added in its statement this week that it will continue to send out stimulus checks, including ‘plus-up’ payments, "on a weekly basis".
According to the agency, it has so far distributed around 161 million third stimulus checks, with a total value of over $379bn.
Stimulus checks: live updates
You can get the latest news and information on the third round of stimulus checks, and updates on a potential fourth round of direct payments, by reading our dedicated live blog.
You’ll also find information on other economic-aid measures such as the expanded Child Tax Credit and supplemented unemployment benefits.