Fourth stimulus check news summary: Friday 14 May 2021

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Fourth stimulus check live updates: dates, IRS tax deadline, Californian payment, Child Tax Credit

US stimulus checks live updates: Friday 14 May 2021

Headlines:

- Around 165m third stimulus checks distributed so far, according to IRS (full story)

- Latest third-stimulus-check payment run includes 460,000 'plus-up' checks

- Legislation passed in NY protecting stimulus checks from debt collectors

- Automatic stimulus checks considered in Washington (what has White House said about fourth check?

- California Gov. Newsom proposes expanding Golden State Stimulus payment scheme (who would qualify?)

- Californian households with children would receive $500 additional payments (full details)

- Monthly Child Tax Credit payments due to start going out in July (how does CTC differ from stimulus check?)

- IRS deadline for filing federal tax return on Monday 17 May (find out more)

- You can track the status of your third stimulus check by going to the IRS' Get My Payment portal

Take a look at some of our related articles:

Biden

One million more stimulus checks sent out this week

The IRS sent out just under one million third stimulus checks as part of its most recent payment run, the agency said earlier this week. In total, it has now distributed about 165 million checks of up to $1,400, with an overall value of $388 billion.

Full details

(Photo: Nicholas Kamm/AFP)

STIMULUS CHECKS

How much were the first, second and third stimulus checks and when were they sent out?

The current round of stimulus checks being distributed by the US federal government is the third to have been approved by Congress since the coronavirus pandemic began early last year.

We look back over the direct payments that have gone out to eligible Americans over the past 12 months

CORONAVIRUS STIMULUS CHECKS

What has the White House said about a fourth stimulus check?

The Internal Revenue Service continues to distribute the third round of direct federal payments, but President Joe Biden is reportedly considering further stimulus checks automatically paid out if certain economic conditions are met.

Full story

Stimulus checks could make a difference for vaccine deniers

As states look to come up with their own ways to incentivise residents into getting a covid-19 vaccine, evidence suggests that tying the recent third stimulus check payments to the vaccination could have made a major difference. A new study of nearly 1,200 unvaccinated Americans found that nearly 60% of them would probably encourage them to get the shot. 

There have been calls for a fourth stimulus check to be restricted to vaccinated Americans, but enforcing such a measure would likely lead to legal challenges. 

CORONAVIRUS STIMULUS CHECKS

Can you lose stimulus checks if you don't file taxes before 2021 deadline?

To date, the federal government has authorised three rounds of stimulus checks, which are essentially just advanced payments of the Recovery Rebate Credit. They have been the most popular form of direct financial relief throughout the pandemic and are tied to tax return information. 

The latest round of stimulus checks, worth up to $1,400 per person, must be paid out by the Internal Revenue Service (IRS) before the end of the year. However, like the previous two EIPs, taxpayers will be able to claim any money they were underpaid this year when they file in 2022.

Read more

More details emerge of the Californian stimulus package

After announcing a significant budget surplus earlier this week, California Governor Gavin Newsom has unveiled another state-wide relief bill which will expand stimulus check eligibility to more of the population. An estimated two-thirds of residents will receive a stimulus check this time around. 

The announcement confirms that the Californian Comeback Plan will provide "immediate cash to middle class families & businesses hit hardest by the pandemic, expands the Golden State Stimulus to middle class families, creating the biggest state tax rebate in American history."

AMERICAN RESCUE PLAN

How many people are getting an unemployment tax break refund?

Millions of Americans received unemployment benefits in 2020 and a fair number of them filed a tax return prior to the passing of the American Rescue Plan which provided unexpected tax relief on those benefits.

How many can expect refunds from the IRS from the tax break?

Consumer spending stalls after stimulus check boost

The first few months of 2021 saw unparalleled levels of federal spending to reignite the pandemic-hit economy, much of which came from two rounds of stimulus checks in just three months. The $600 emergency payment was followed by the $1,400 third stimulus check to provide a boost for the retail sector. 

However it appears that the short-term boost is beginning to fade and retail sales has performed worse than expected over the past month. 

Tax deadline for Tennesseans affected by severe spring weather get filing extension 

The IRS announced today that victims of this spring's storms and tornadoes in Tennessee will have until August 2, 2021, to file various individual and business tax returns and make tax payments, the Internal Revenue Service announced today. The IRS is providing this relief to taxpayers affected by storms, tornadoes, and flooding that took place between March 25 and April 3, 2021 following the recent disaster declaration issued by FEMA. The tax relief postpones various tax filing and payment deadlines that occurred starting on March 25.

Full details

2021 TAX REFUND

$10,200 unemployment tax break refund: how to know if I will get it

The Internal Revenue Service (IRS) said that it would start sending tax refunds to those eligible for the $10,200 unemployment tax waiver this week and continue through the summer. The IRS is adjusting returns in two phases and the complexity of your tax return will determine how long you have to wait to see your refund.

Full details

IRS announces tax refunds will begin for unemployment tax waiver

In a press release on Friday the Internal Revenue Service announced that payments would begin this week for the first phase of recalculations the tax agency is making to tax returns for those that claimed unemployment benefits in 2020. As per the statement:

WASHINGTON — The Internal Revenue Service will begin issuing refunds this week to eligible taxpayers who paid taxes on 2020 unemployment compensation that the recently-enacted American Rescue Plan later excluded from taxable income.

The IRS identified over 10 million taxpayers who filed their tax returns prior to the American Rescue Plan of 2021 becoming law in March and is reviewing those tax returns to determine the correct taxable amount of unemployment compensation and tax. This could result in a refund, a reduced balance due or no change to tax (no refund due nor amount owed).

These corrections are being made automatically in a phased approach, easing the burden on taxpayers. The first phase is underway and includes the simplest returns. The next phase will include the more complex tax returns which the IRS anticipates will take through the end of summer to review and correct.
 

Proud Boys leader received $15K in PPP stimulus loans 

The Guardian reveals that Government records show that Enrique Tarrio, chairman of the far-right Proud Boys group, received two federal government-backed paycheck protection program (PPP) loans worth a total of $15,500. The loans were issued to Henry Tarrio, an anglicized form of his name which he has used on other occasions.  

In the loan documentation, which was obtained by the news non-profit ProPublica, after a Freedom of Information Act battle with the Small Business Administration, Tarrio is described as an independent contractor, working in the “Security Systems Services” industry, but the document names no associated business entity. 

The Proud Boys began as an organization protesting against political correctness and boosting their idea of masculinity and grew into a rightwing group that embraced street fighting. Earlier this year Canada named it as a terrorist entity. It is seen as having played an important role in the 6 January attack on the Capitol in Washington DC. 

Full story

2021 TAX FILING

Where do I mail my federal tax return?

The IRS gave taxpayers a little more time in 2021 to file a tax return but that extra time is just about up. You will need to file and pay any taxes owed on or before 17 May. But if you still need more time, you can file for an extension by the same date.

If you are planning to send your tax return or a request for an extension by post, depending where you live and which tax form you are sending, the IRS has different locations to send paper returns. 

Find out more

CORONAVIRUS STIMULUS CHECKS

$1,100 Golden State stimulus in California eligibility: who qualifies for it?

Governor Gavin Newsom  announced at the start of this week, the California Comeback Plan. In the latest stimulus plan for the state Newsom proposes using an unexpected revenue surplus to expand the $600 Golden State Stimulus payment scheme to include a greater proportion of the state's population. 

The program would also include extra payments of $500 for households with children. 

Full details on the stimulus-check scheme proposed

Retail sales flat in April after gangbusters March 

After a spectacular rise in retail sales in March riding a wave of stimulus money as the $1,400 stimulus checks began hitting bank accounts, April’s numbers saw no new growth. Economists had expected more modest growth this month compared to March but the 0.8% increase forecast didn’t materialize.  

See the numbers

Is the US economy is hitting headwinds? 

CME Group examine if the effects of the stimulus money in the US economy is beginning to peter out.

AMERICAN RESCUE PLAN

$3000/$3600 Child Tax Credit: when will the monthly payments begin?

The monthly direct payments of the new expanded Child Tax Credit are due to start in July according to the IRS. Qualifying households are set to receive checks of $250 to $300 per child depending on age throughout the second half of 2021. 

Parents will have a second option as well once the program is activated. They can choose to receive their Child Tax Credit in a lump sum of up to $3,600 in 2022. 

Find out more about the payments timeline for the expanded Child Tax Credit

New York congressman takes issue with use of Stimulus funds 

US Representative John Katko from New York disapproves of how the City of Syracuse plans on using $75,000 of stimulus money from the American Rescue Plan. The city council approved using stimulus funding for a mural honoring local basketball legends. They include Breanna Stewart, Manny Breland, Earl Lloyd, and Dolph Schaye. 

“COVID-19 relief funding should aim to help our families, small businesses, and healthcare providers emerge from this pandemic. I support honoring Syracuse basketball legends, but putting COVID aid towards a mural while many in our community struggle is irresponsible and misguided,” says Congressman John Katko (NY-24).

California stimulus bill includes $7 billion for broadband 

Governor Gavin Newsom has unveiled his $268 billion California Comeback Plan over the past week crisscrossing the state to highlight new features of the plan. As in other stimulus proposals across the US, investment in broadband will get a good chunk of the money in the bill to the tune of $7 billion to expand access to underserved communities. 

Now Newsom and lawmakers have a month to negotiate details of the budget proposal. The state legislature will have until 15 June to pass the bill and get it to the Governor’s desk for him to sign.

TAX DAY 2021

Tax Filing 2021: what happens if I don’t file before the deadline?

The deadline for 2021 IRS tax filings is drawing closer and the majority have tax-payers have already completed their tax returns for the past year. This year the deadline has been extended by just over two months, meaning that the new date by which to get your tax returns in is Monday 17 May.

The covid-19 economic crisis has created a complicated tax situation leading many filers to request an extension, but can you be penalized? The IRS can issue financial penalties for late tax returns. Failure to file may also affect upcoming stimulus check and Child Tax Credit payments.

Full details

Newsom’s $268 billion stimulus plan for California 

SacBee - Facing a recall election later this year, Gov. Gavin Newsom proposed pouring tens of billions of dollars into California’s struggling economy as part of his revised May budget proposal, which he unveiled Friday. 

The plan would direct billions in spending toward infrastructure, stimulus checks for residents, aid for the homeless and an expansion of health care for undocumented immigrants. Newsom’s entire budget proposal totals $267.8 billion, relying on a $75 billion surplus from tax revenue and $27 billion in stimulus funds from the federal government. 

What all is in the massive California Comeback Plan

US News

Why weren’t the funds from the $3000/$3600 child tax credit sent with the stimulus check payments?

The IRS has sent out 164 million stimulus payments totaling more than 386 billion dollars. The tax authority has also stated that payments for the enhanced child tax credit (CTC) will begin in July.

With millions of families awaiting funds from the enhanced child tax credit, many are wondering why the payments weren’t sent with the latest stimulus check?

Full details

CORONAVIRUS STIMULUS CHECKS

Can you lose stimulus checks if you don't file taxes before 2021 deadline?

The US federal government has authorized three separate Economic Impact Payments (EIP) over the past year, more commonly known as stimulus checks. These are advanced payments of the Recovery Rebate Credit, two of which were for the 2020 fiscal year and the third for the 2021 fiscal year.

If you want your stimulus money that is due to you this year, you will need to file your 2020 tax return this year and Tax Day is quickly approaching. However, because they are refundable tax credits you may be able to get any that was left on the table from this year with next year's refund.

Full details

US NEWS

$50 stimulus to pay internet bill: how to claim it

Registration is now open to claim a monthly $50 coupon towards your internet bill along with other aid as part of the Emergency Broadband Benefit. 

Find out how to take advantage of the new program

BYU higher education institutions refuse federal stimulus funds 

Desert News - Four Latter-day Saint-owned colleges and universities now have turned down a total of $333 million in federal stimulus checks during the pandemic. 

A year ago, Tad Walch wrote about how Brigham Young University in Provo, Utah, and its sister schools BYU-Idaho, BYU-Hawaii and Ensign College, formerly known as LDS Business College, had turned down a combined $54.1 million allocated for them in the CARES Act, signed into law by then President Donald Trump in March 2020. 

Why are the schools turning down the federal funds? Find out here

You got mail, or should, regarding your $1,400 stimulus check 

You already got your third stimulus check, so why is the IRS sending you a letter now? Up to this point, the IRS has made 165 million stimulus payments either by direct deposit or in the mail. However, if you believe you didn't get the correct payment amount or if you haven't received a payment yet, don't toss the IRS letter signed by President Joe Biden when you get it. 

Find out more

California Comeback Plan will give Californias more stimulus checks and more

California Governor Gavin Newsom announced a new proposal on Monday 10 May that would include a $600 direct payment for 80% of taxpayers in the state. The “California Comeback Plan” will also include additional payments valued at $500 for undocumented families and taxpayers with dependents. 

In order to receive the payments, the proposal must be passed by the state legislature. 

Lawmakers will receive the full proposal Friday 14 May and the governor is hoping to see the legislation approved by mid-June. If approved, payments would begin being disbursed shortly after based on tax information provided this year. The deadline to file taxes in California is 17 May. 

Full details

Tax Day for 2020 tax returns is fast approaching

Federal Tax Day is Monday, 17 May this year but not all states changed their tax filing to coincide with the federal date.

The Des Moines Register reminds its readers and all Iowans that for state income taxes, the Iowa Department of Revenue has delayed the deadline to June 1 from April 30. Filers can, as always, request an extension for filing both federal and state paperwork. Filers would then need to submit their papers by Oct. 15. 

However, an extension does not provide more time to actually pay income taxes. The reprieve is only to help people sort out paperwork issues, and they may still owe penalties and interest on payments not mailed by the original filing deadline. 

To check out the regulations for your state check here

Stimulus Checks

What ID can I use to cash stimulus checks?

If you want to cash your stimulus check you can do so even at banks where you don't have an account, but you will need to bring ID.

Find out more

2021 TAX SEASON

Tax Deadline 2021: how to file an extension

Tax Day 2021 is fast approaching, but for those who still need a little more time, the IRS allows for an extension until 15 October. However, you’ll need to act now if you want to get one.

How to apply for an extension to the tax-filing deadline

US NEWS

$50 stimulus to pay internet bill eligibility: who can get it?

As part of the $900bn coronavirus relief package passed by Congress in December, Americans can get a $50 discount on their monthly internet bill.

Find out more about the scheme and how to apply

Many unvaccinated Americans would be persuaded to get shot by financial incentive - poll

A Morning Consult poll has found that 44% of unvaccinated adults in the US are nervous about the long-term effects of a covid-19 vaccine, but that 57% would either definitely or probably get a shot were they rewarded for doing so with a “large financial incentive, like a $1,000 savings bond”.

Some states have offered Americans an incentive to get vaccinated, with, for example, West Virginia offering a $100 savings bond to young people, and New Jersey and Connecticut giving out free beers.

In recent months, former congressman John Delaney has suggested handing out $1,500 stimulus checks in exchange for being vaccinated, amid widespread vaccine hesitancy in the US.

"We have to create, in my judgment, an incentive for people to really accelerate their thinking about taking the vaccine," Delaney said last year.

US NEWS

Where is my Golden State stimulus? How to check & track

California's Franchise Tax Board is distributing stimulus checks for $600 or $1,200 to eligible residents of the state. Find out when you can expect to receive your check

STIMULUS CHECKS

How much were the first, second and third stimulus checks and when were they sent out?

Three federal stimulus checks have so far been approved and distributed in the US since the coronavirus pandemic began in early 2020.

We take a look back over the Economic Impact Payments sent out over the past year

CORONAVIRUS STIMULUS CHECKS

What has the White House said about a fourth stimulus check?

Asked earlier in May about the possibility of more stimulus checks being approved in either the American Jobs Plan or American Families Plan, White House press secretary Jen Psaki told a press briefing: "We’ll see what members of Congress propose, but those are not free."

Full story

US NEWS

$1,400 third stimulus check: what is "IRS TREAS 310 - TAX EIP3"?

Americans receiving the third stimulus check by direct deposit are seeing their money land in their bank accounts with the identifying reference "IRS TREAS 310 - TAX EIP3".

Full details

2021 TAX RETURN

How will unemployment tax break refund be sent in two phases by the IRS?

The IRS says it will be sending out tax breaks on 2020 unemployment benefits in two batches, with Americans who filed an individual tax return receiving their money first, followed by those who submitted joint or more complicated returns.

People in the US who received unemployment insurance last year are to be given a tax waiver on the first $10,200 of benefits they were paid.

Full details on the tax-waiver payment timeline

See also: How to claim your unemployment-benefits tax waiver

Stimulus checks news

Check out AS English's stimulus-checks news section

In our dedicated stimulus-checks news section, you’ll find articles offering news on a possible fourth direct payment, as well as updates on the third round of checks currently going out.

We also have articles providing information on the Golden State Stimulus payments being distributed in California, where Governor Gavin Newsom has proposed expanding the scheme to a greater number of residents of the state.

Take me to the stimulus-checks news section

How stimulus checks impact on the economy

This Vox video uses the analogy of a fish tank to explain how stimulus checks can help an economy - and why some experts have expressed concern that too many direct payments in too short a period could potentially lead to excessive levels of inflation:

Governor Gavin Newsom

Millions of Californians can expect another stimulus check

California had a record budget surplus in 2021, on top of expected federal stimulus money, which has enabled Governor Gavin Newsom to propose his $100 billion covid-19 relief bill for the state. Part of his proposal is “the biggest state tax rebate in American history,” allocating nearly $12 billion to direct payments.

The new tax rebate will include millions who didn’t receive a $600 stimulus check in the previous Golden State Stimulus enacted in February. It’s estimated that around 11 million taxpayers will receive a $600 payment in the latest round of Golden State Stimulus.

Full story

(Photo: Justin Sullivan/AFP)

2021 TAX FILING

Where do I mail my federal tax return?

Tax Day is just around the corner and depending where you live and which tax form you are sending the IRS has different locations to send paper returns.

Find out more

Three House Dems look to raise Child Tax Credit income limit for heads of household

A bill introduced by three progressive House Democrats on Thursday seeks to make it possible for more single parents to claim the full expanded Child Tax Credit.

Katie Porter (D-Calif.), Ayanna Pressley (D-Mass) and Don Beyer (D-Va) have tabled the Single Parent Penalty Elimination Act, which proposes raising the Child Tax Credit income threshold for people who file taxes as heads of household, a tax status commonly used by single parents.

While married joint tax filers who earn up to $150,000 a year qualify for the full Child Tax Credit amount of $3,000 per child aged six to 17 and $3,600 per child aged under six, Americans who file taxes as heads of household are only eligible for the full figure if their annual income is under $112,500.

"There is no single-parent discount for groceries, child care or doctors' bills," Porter said in a statement.

"The child tax credit exists to improve children’s well-being. No child should have fewer opportunities for nutritious food, good housing and quality care because her parents are not married."

US News

What happens if you file an extension for the tax deadline in 2021? Are there penalties?

Tax Day coming up

Individual taxpayers in the US have until this Monday, 17 May, to file their federal tax return for the 2020 tax year.

Full details on the upcoming IRS tax-filing deadline

See also: Find out how to apply for an extension

Child Tax Credit

Child Tax Credit calculator

If you're not sure how much you're entitled to as part of the expanded Child Tax Credit, you may find this CTC calculator created by Forbes magazine is of use to you.

(Image: www.forbes.com)

AMERICAN RESCUE PLAN

$3000/$3600 Child Tax Credit: when will the monthly payments begin?

The IRS has said monthly payments of the new, expanded Child Tax Credit are due to start in July, with qualifying households set to receive checks of up to $300 throughout the second half of 2021.

Parents can also opt to receive their Child Tax Credit in a lump sum of up to $3,600 in 2022.

Find out more about the payments timeline for the expanded Child Tax Credit

US News

What states are ending federal unemployment in June?

Governors in 14 states have announced they will be ending additional unemployment benefits in June.

What is motivating this decision?

CORONAVIRUS STIMULUS CHECKS

$1,100 Golden State stimulus in California eligibility: who qualifies for it?

Announced at the start of this week, the California Comeback Plan proposes expanding the $600 Golden State Stimulus payment scheme to include a greater proportion of the state's population.

The program would also include extra payments of $500 for households with children.

Full details on the stimulus-check scheme proposed in the California Comeback Plan

US NEWS

$50 stimulus to pay internet bill eligibility: who can get it?

Known as the Emergency Broadband Benefit, a new government program that provides assistance to pay for internet access is now available to low-income households.

Find out more

IRS

Track your stimulus check with Get My Payment

If it hasn't landed yet, you can track the status of your third stimulus check by accessing the IRS' online Get My Payment portal.

Take to Get My Payment

More info about Get My Payment

You'll also find a helpful Get My Payment FAQs page on the IRS website.

(Image: www.gov.irs)

Biden

IRS sends out 1 million more Economic Impact Payments

The IRS said in its most recent payment update on Wednesday that it had sent out just under one million more third stimulus checks, taking the total amount of checks distributed to around 165 million, at an overall value of $388 billion.

Full details

(Photo: Nicholas Kamm/Reuters)

CORONAVIRUS STIMULUS CHECKS

What has the White House said about a fourth stimulus check?

The IRS continues to send out the third round of direct payments but President Biden is reportedly considering introducing economic triggers for further checks.

Full story

US stimulus checks live updates: welcome

Hello and welcome to our daily stimulus-checks live blog, in which we'll endeavor to provide you with the latest news on a possible fourth direct payment, in addition to keeping you abreast of the latest updates and information on the third round of checks currently being sent out to qualifying Americans.

You'll also find news on the Golden State Stimulus payments going out in California, and info on Governor Gavin Newsom's proposed expansion of the scheme to more residents of the state.

Furthermore, this live blog will also cover economic-aid measures such as the expanded Child Tax Credit, which is to give eligible households up to $3,600 per child per year, with monthly payments due to begin in July.

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