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Fourth stimulus check news summary: Friday 11 June 2021

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US stimulus checks latest news live: Friday 11 June

Headlines:

- White House announces Child Tax Credit Awareness Day is scheduled for 21 June

- Millions in the US continue to wait for their tax returns (full story)

- IRS confirms another 2.3 million stimulus check payments have been sent out this week

- Republican states are cancelling unemployment benefits boost (full story)

- White House cool on possibility of fourth stimulus check in immediate future (full story)

- Monthly payments as part of new, expanded Child Tax Credit due to begin on 15 July

- IRS to host Digital Day webinar on 17 June

- IRS leak shows how little wealthiest Americans pay in federal income tax (full story)

- Next round of adjusted tax returns for unemployment exclusion to go out mid-June

- Study shows that American households significantly helped by stimulus checks

- You can track your third stimulus check by using the IRS' online Get My Payment tool

- Check out all the latest news and information on vaccines (live blog)

Have a read of some of our related news articles:

CORNAVIRUS STIMULUS CHECKS

Fourth stimulus check: what is the secret payment and how to claim?

The American Rescue Plan authorized money that homeowners can claim to cover their mortgage payments and unpaid debts to be doled out by states.

Full details

G7 leaders agreed to keep stimulus flowing for their economies

Leaders of the Group of Seven rich nations were in broad agreement about the need to continue supporting their economies with fiscal stimulus, a source familiar with the discussions said on Friday, the opening day of a G7 summit.

The backing for more stimulus was shared by all leaders including Angela Merkel of Germany, which has traditionally opposed heavy borrowing to spur growth, a position which it has relaxed in the face of the covid-19 crisis.

The administration of US President Joe Biden has been pushing its allies to keep on spending with Treasury Secretary Janet Yellen urging her G7 colleagues in February to "go big".

The source said the G7 leaders believed there should be long-term policies for ensuring the health of the public finances in the future, echoing the position of their finance ministers who met earlier this month in London.

The leaders believed a post-lockdown rise in inflation in many countries would prove temporary, the source said.

Italian Prime Minister Mario Draghi stressed the importance of taking action to reduce unemployment such as retraining and offering support for younger workers, a proposal supported by Canada's Justin Trudeau, the source said.

(Reuters)

Stimulus checks: every news article

In our dedicated stimulus checks section, you’ll find a whole host of news articles providing updates on a possible fourth check, as well as information on the third round of direct payments.

Take a look at our stimulus checks news section

US News

IRS sending unemployment tax refund: how to contact IRS if missing

The IRS recently sent millions of tax returns, yet many across the country are still waiting. Our team took a look at how to track your return.

Full details

Global News

2021 G-7 Submit: When will changes be made to the global corporate tax rate for and what has Biden said about it?

2021 G-7 Submit: When will changes be made to the global corporate tax rate for and what has Biden said about it?

The G-7 met in person for the first time in over a year…One of the biggest topics up for discussion -- a tax rate minimum for multinational corporations.

The Finance ministers and leaders from the seven countries took part in the discussions and agreed that their nations should implement a corporate tax rate of at least fifteen percent. Additionally, the group agreed that taxation should be based on where multinational corporations are operating and making profits to ensure that the most profitable global companies pay their fair share. 

Read our full coverage for details on what the White House has said about the changes. 

CHILD TAX CREDIT

What are the differences between the 2021 Advanced Child Tax Credit and the Additional Child Tax Credit?

What are the differences between the 2021 Advanced Child Tax Credit and the Additional Child Tax Credit?

The American Rescue Plan provided a complete overhaul of the Child Tax Credit programme, but how has it changed and how much will the new direct payments be worth?

Full details 

 

CORONAVIRUS US

$1 million North Carolina Vaccine Lottery: how to enter and sign up

$1 million North Carolina Vaccine Lottery: how to enter and sign up

North Carolina has become the latest state to launch a vaccine lottery to encourage residents to get their shots. 

Governor Roy Cooper of North Carolina announced on Thursday two lottery-style drawings to encourage state residents to get vaccinated. The programs are called Summer Cash which will offer four $1 million prizes and Cash 4 College which will give four teenagers a chance at college scholarships.

The program mirrors other lotteries that followed the lead of the first one set up in Ohio, the Vax-a-Million lottery. After Governor Mike DeWine announced Ohio’s lottery, vaccination numbers soared 43 percent over the previous week. Governor Cooper hopes to get a similar bump in numbers to get the state to 66 percent of the population vaccinated. The state has so far partially vaccinated around 54 percent of the residents.

Read our full coverage for details on how to enter. 

Why did prices increase so much in May? 

Consumers saw the greatest increases in the prices of common goods -- between 3 and 5 percent -- last month. This has many economists worried that an inflation crisis is looming which could bring with it a slower recovery and increased volatility in the market. To slow inflation, the Federal Reserve, has the option to increase interest rates, a topic that is sure to be on the discussion table at next week's meetings between central bank officials. 

Two of the most powerful financial governing officials, Treasury Secretary Janet Yellen and Federal Reserve Chairman Jerome Powell believe that the increase in prices is temporary and relates to natural shifts as the economy reopens and consumers begin spending more than they have since the pandemic began. Chairman Powell has stated that he sees the recovery as far from the finish line and that "one-time increases in prices are likely to only have transitory effects on inflation." 

Read full story from the Wall Street Journal here. 

Newsweek reports that those who organized the Change.org petition to push Congress to pass legislation that includes monthly stimulus checks worth $2000 is just shy of 670,000 signatures shy of its goal. A little over a year after the petition was created it nears the target of three million signatures. 

CHILD TAX CREDIT

$3,000/$3,600 Child Tax Credit: how do I know if should have received the IRS letter?

The IRS has announced that they will be sending out letters to all recipients of the reformed Child Tax Credit to let them know that the monthly direct payments, worth up to $300 per person, will soon be coming their way.

The announcement stated that the first wave of letters will see mail sent to 36 million households across the United States, and they will send more as they work through the backlog of 2020 tax returns. The IRS say this will be followed by “a second, personalized letter listing an estimate of their monthly payment.”

Read more

Fourth stimulus check petition nears three million signatures

An online petition calling for another round of direct payments is nearing the three million signature mark that was the creator's original target. The petition, which calls for recurring $2,000 monthly stimulus checks for the duration of the pandemic, has become the most popular of its kind and represents the strength of feeling across the country. 

That support is echoed by over 70 Democratic lawmakers in Congress who have signed letters asking Biden to consider similar proposals. They suggest that a recurring fourth stimulus check is needed to provide stability to American households hit hardest by the pandemic. 

TAX REFUNDS

Unemployment tax refund: how to calculate how much will be returned

The American Rescue Plan included a little-known clause which prevented taxes being levied on unemployment benefits received during 2020. The move was made to help jobless Americans during the pandemic, but not all were able to take advantage of it initially.

The legislation was not passed until mid-March, by which time millions had already filed their tax returns and paid taxes due. These people will now be due a hefty tax refund, which the IRS is currently in the process of distributing.

Read more

Democrats push for Child Tax Credit expansion

Throughout the talks in Congress, Sen. Michael Bennet has remained one of the most vocal proponents of the expanded Child Tax Credit. As it stands, the new-look programme will only last for one year but their is a concerted efforts amongst the Democrats to see it extended further, or even made permanent. 

As part of that effort, Vice President Kamala Harris has today announced the introduction of Child Tax Credit Aware Day, to be held on 21 June 2021, to ensure that American families are aware of the incoming federal support. The new system will see eligible families recieve a monthly direct payment worth up to $300 per child. 

Who got a stimulus check in the latest wave of payments?

The IRS will continue to make stimulus check payments on a weekly basis for the rest of 2021. As the tax authority works through a backlog of returns they are discovering millions more Americans who are eligible for the direct payments. 

At latest count the IRS had sent out over 169 million stimulus checks payments, with the total cost now approaching $400 billion. Some of these will have been 'plus-up' stimulus checks; supplementary payments sent out to boost the entitlement of people who were originally underpaid. 

CORONAVIRUS STIMULUS CHECKS

Can a 4th and 5th stimulus check be approved according to the White House?

In March the American Rescue Plan provided a third stimulus check worth up to $1,400 per person, but there is concern that many low-income households are in need of further support.

On 17 May seven members of the House Ways and Means Committee, the congressional body who provides oversight on issues of federal spending, became the latest to join the cause. They wrote that “a fourth and fifth check could keep an additional 12 million out of poverty,” but how has the White House responded to their request?

Read more

What should I do with my Child Tax Credit monthly payments?

Earlier this week the IRS sent out letters to every household scheduled to begin receiving Child Tax Credit payments from next month. The first of the monthly payments is set to go out on 15 July, but many families were unaware that they are in line for the federal support. 

If you have received one of these letters but aren't sure how to make best use of the money, check out this handy guide on the Child Tax Credit...

CORONAVIRUS STIMULUS CHECK

Fourth stimulus check schedule: how long would it take to be approved, signed and sent?

The three rounds of stimulus checks agreed so far were approved by two different administrations; the first two under former President Trump and the latest $1,400 stimulus check in March by President Biden. 

In all cases the President was a vocal proponent of the direct payments and helped to push it through Congress. Once again there is no consensus in Congress and the White House would likely have to do a lot of legwork to get another round of payments passed. Biden appears to be focusing on other priorities for now, but how long would it take if he decided to push for a fourth stimulus check?

Read more

Stimulus check supporters point to recent study

A study from the University of Michigan has found that the three previous rounds of sitmulus checks had a hugely positive impact on key areas like food poverty, mental health and financial stability. The White House has been quiet on the prospect of a fourth stimulus check in recent weeks but many Democrats in Congress are in favour of recurring payments. 

Social initiative The Fairness Project are using the report's findings to push for more financial supprt for Americans families. 

Tax refunds go out for unemployment benefits recipients

The American Rescue Plan provided a number of pandemic-related programmes to help those hit financially, such as the stimulus checks and the new Child Tax Credit. But a little-known provision made unemployment benefits received in 2020 tax-free for the first $10,200 per person. 

But as the ARP wasn't signed into law until March this year, millions of unemployment recipients falsely paid taxes on the support received. The IRS estimate that millions of people are are in line for the refunds, and they are on their way now. 

Harris announces Child Tax Credit Awareness Day for 21 June

The Biden administration is clearly eager to push the benefits of the reformed Child Tax Credit and Vice President Kamala Harris has today announced a specific day of awareness for the new programme. 

The 21 June will be used to spread awareness of the monthly direct payments that are coming from next month, which 88% of children will be covered by. However there are still many families who are unaware that the payments are coming, and the IRS has recently sent out letters to spread to word. 

US NEWS

What states are paying out stimulus checks on top of the third federal payment?

While Americans across the country are waiting for news on the prospect of a fourth stimulus check, some states are taking matters into their own hands. A number of Governors have decided to use state resources to offer residents an additional direct payment, albeit with generally stricter eleigibility requirements. 

California, for example, is providing two-thirds of residents with a Golden State Stimulus Check after announcing a large tax revenue surplus for 2020. Gov. Gavin Newsom unveiled the new programme recently, here's when the payments could be coming in your state...

Read more

VP Harris gives her thoughts on the new Child Tax Credit

At a public event in a child care centre in Washington DC, Vice President Kamala Harris has thrown her support behind the extension of the reformed Child Tax Credit. The new provision, which will see families given a monthly payment to help with the cost of raising children, is only scheduled to last for 12 months at the moment. 

The American Families Plan would see it extended until the end of 2025, but Biden has so far failed to build much bipartisan support for the package. Many Congressional Democrats want the legislation to go further and demand that the monthly direct payments be made permanent.

Stimulus check wait for California residents

Earlier this year the state of California announce a huge tax revenue surplus which Gov. Gavin Newsom promised to spend on covid-19 relief for residents and businesses affected by the pandemic. As such, California will be sending out Golden State Stimulus checks to roughly two-thirds of the state's residents, but it has taken some time for them to arrive. 

The process has begun for some by United Way Orange County warns that it could take up to two months for the payments to arrive for some residents. Those expecting a paper stimulus check will have the longest wait.

CORONAVIRUS STIMULUS CHECK

Fourth stimulus check schedule: how long would it take to be approved, signed and sent?

Congress has authorized three rounds of Economic Impact Payments to Americans alleviating the financial hardships endured during the pandemic. Although the first went out without much haggling, the later direct payments encountered more resistance over how much struggling Americans needed, who would get them and the overall price tag for future generations.

The length of time it could take for Americans to see a fourth stimulus check depends on the urgency of need and the ability of Congress to work together.

Full story

Answers for all your questions about "Stimmys"

The IRS has sent out more than 169 million payments for a total value of approximately $395 billion, but there are still more coming as the agency processes 2020 tax returns. The latest batch included yet another million and some "plus-up" payments. Nearly a million of the payments in this weeks batch were for people who the IRS previously didn't have information on to send an Economic Impact Payment before.

ECB officials express concerns about higher inflation 

Just a day after the European Central Bank agreed to keep stimulus flowing to the 27-nation block, officials issued warnings about higher rates of inflation. Inflation was at 2% in May, above the target of below or near to 2%, however individual nations are experiencing higher levels locally. As in the US a sharp rise in energy and food costs has been one of the main drivers of the jump in inflation which central bankers think will be temporary. 

US News

$3600/3000 Child Tax Credit Calculator: how much will I receive per child?

With payments beginning next month, many families are curious how much they will receive as a part of the enhanced child tax credit this year. The IRS will be sending families a letter to inform them about the tax credit.

Learn more about the Child Tax Credit

Stimulus bill reducing health care costs 

The American Rescue Plan was a sweeping bill that was designed to bring relief to US businesses and American households, including tax provisions, stimulus payments and funding for an array of programs. One portion that has garnered less attention were the healthcare provisions.   

According to the White House on average, many premiums will decrease by $50 per person per month and $85 per policy per month. Four out of five enrollees will be able find a plan for $10 or less per month after tax credits, and over 50% will be able to find a Silver plan for $10 or less per month. 1 out of 4 enrollees on Heathcare.gov will be able to upgrade to a higher plan category that offers better out of pocket costs at the same or lower premium compared to what they’re paying today  

You have through 15 August 2021 to enroll in or change your Health Insurance Marketplace plan. 

To learn more how you could save money on your premiums check here

CPA advice for small business owners on using stimulus funds 

Bureau of Labor Statistics reported Thursday that consumer prices soared in May rising faster than economists had predicted. Inflation rose 5% in the 12-months ending in May. The core inflation rate, once food and energy costs were excluded, stood at 3.8%, the biggest rise since 1992. On a seasonally adjusted basis the May rise in inflation, 0.6%, was slightly lower than in April. 

Gene Marks, Certified Public Accountant offers some advice on how to weather the rising cost of doing business using provision from the stimulus bills. For more information on the United States Small Business Administration (SBA) loans check here.

CORONAVIRUS US

$1 million North Carolina Vaccine Lottery: how to enter and sign up

Governor Roy Cooper of North Carolina announced on Thursday two lottery-style drawings to encourage state residents to get vaccinated. The programs are called Summer Cash which will offer four $1 million prizes and Cash 4 College which will give four teenagers a chance at college scholarships.

North Carolina joins a growing list of states using stimulus funds to entice residents to get vaccinated using million-dollar cash prizes and university scholarships.

Find out how to participate

New Mexico offering stimulus to those overlooked by federal stimulus checks 

Residents of New Mexico who didn’t qualify for federal Economic Impact Payments, better known as stimulus checks, can apply for financial relief from the state beginning 14 June. The New Mexico Human Services Department will start accepting applications starting Monday at 9 am which are available at the Yes New Mexico website. All applications must be submitted before 3 pm 15 June.

More details

Up to $25,000 in stimulus for renters  

Renters who have experienced financial difficulties and are at risk of being evicted will want to look into the Emergency Rental Assistance program. Although there is a moratorium on evictions in place, it will expire at the end of the month. As many as six million people may find themselves in this situation.   

Find out more

CHILD TAX CREDIT

What are the differences between the 2021 Advanced Child Tax Credit and the Additional Child Tax Credit?

The American Rescue Plan provided a complete overhaul of the Child Tax Credit programme, but how has it changed and how much will the new direct payments be worth?

Biden restores $929M for California high speed rail withheld by Trump

The Biden administration late on Thursday restored a $929 million grant for California's high speed rail that former president Donald Trump revoked in 2019.

The parties, which also include the California High-Speed Rail Authority and the U.S. Transportation Department, agreed to restore the grant within three days, according to the settlement agreement, Talks began in March, months after Biden became president, to settle the suit filed in 2019 after Trump had pulled funding for a high-speed train project in the state hobbled by extensive delays and rising costs. Trump had repeatedly clashed as president with California on a number of fronts California's lawsuit claimed the Transportation Department lacked legal authority to withhold the $929 million the Obama administration allocated a decade ago but had remained untapped.

"The Biden Administration's restoration of nearly $1 billion for California's high-speed rail is great news for our state and our nation," U.S. House of Representatives Speaker Nancy Pelosi, a Democrat from California, said in a statement reacting to the agreement.

The funding restoration occurs as the Biden administration tries to hammer out an infrastructure spending agreement with lawmakers.

US News

$3600/3000 Child Tax Credit Calculator: how much will I receive per child?

With payments beginning next month, many families are curious how much they will receive as a part of the enhanced child tax credit this year. 

G7

President Biden and PM Johnson discussed UK-US travel corridor- Raab

U.S. President Biden and British Prime Minister Boris Johnson discussed opening a transatlantic travel corridor at their bilateral meeting on Thursday, but no announcement was imminent, British Foreign Secretary Dominic Raab said.

"It was something that was discussed yesterday and we've got an idea about how to take it forward, but it's not something we'll be announcing imminently," Raab told Sky news on Friday.

Biden and Johnson met in Cornwall, southwest England, before the start of the G7 Summit on Friday.

Senator Schumer will 'look at' bipartisan infrastructure pitch

Democratic U.S. Senate Majority Leader Chuck Schumer on Thursday said he was open to considering a bipartisan infrastructure bill, but wanted to see it in writing - and added he might also push for a follow-up measure that had only his party's support.

President Joe Biden's push for a sweeping $1.7 trillion package in Congress to revamp roads and bridges and tackle such other issues as education and home healthcare faced a setback earlier this week when Biden, a Democrat, rejected a far smaller proposal put forward by Republican Senator Shelley Moore Capito.

That left room for a new group of 10 moderate senators from the two parties to pitch a new idea designed to generate enough support to pass through the 100-seat Senate with the 60 votes necessary for most bills.

prices

'Worst' of inflation seen likely this summer, easing in fall

U.S. consumer prices are likely to peak this summer and then begin to dissipate in the autumn, an official with the Biden administration said on Thursday, after news that the consumer price index increased again - by 0.6% - last month.

In the 12 months through May, the CPI accelerated 5.0%, hitting its biggest year-on-year increase since August 2008 and following a 4.2% rise in April. But the official, who asked not to be named, said that was largely due to a "base effect" given the low level of prices seen in the early phase of the pandemic.

The Biden administration remained convinced that the current spike in consumer prices would be transitory, and that assessment was shared by professional forecasters, investors, consumers and businesses, said the official.

"It's most likely that it's going to peak in the next few months. We'll probably see the worst of it this summer, and (then) in the fall, things will probably start to get back to normal," the official said.

Dollar slips as currency traders see inflation spike as temporary

The dollar index edged down on Friday and major currency pairs were stuck within recent ranges as markets shrugged off Thursday's high U.S. inflation number, believing the Federal Reserve's stance that it is likely to be a temporary blip.

U.S. consumer prices rose 5% year-on-year in May, the biggest jump in nearly 13 years. Currency markets had been sluggish all week in anticipation of the data, but when it came in above expectations, there was little market reaction.

The Federal Reserve has repeatedly said that it expects any rise in inflation to be temporary and that it is too soon to be discussing reducing its monetary stimulus.

dollar

Dollar slips as currency traders see inflation spike as temporary

The dollar index edged down on Friday and major currency pairs were stuck within recent ranges as markets shrugged off Thursday's high U.S. inflation number, believing the Federal Reserve's stance that it is likely to be a temporary blip.

U.S. consumer prices rose 5% year-on-year in May, the biggest jump in nearly 13 years. Currency markets had been sluggish all week in anticipation of the data, but when it came in above expectations, there was little market reaction.

The Federal Reserve has repeatedly said that it expects any rise in inflation to be temporary and that it is too soon to be discussing reducing its monetary stimulus.

Dollar slips as currency traders see inflation spike as temporary

The dollar index edged down on Friday and major currency pairs were stuck within recent ranges as markets shrugged off Thursday's high U.S. inflation number, believing the Federal Reserve's stance that it is likely to be a temporary blip.

U.S. consumer prices rose 5% year-on-year in May, the biggest jump in nearly 13 years. Currency markets had been sluggish all week in anticipation of the data, but when it came in above expectations, there was little market reaction.

The Federal Reserve has repeatedly said that it expects any rise in inflation to be temporary and that it is too soon to be discussing reducing its monetary stimulus.

IRS offers advice for late tax payers

With the May 17 having long past, the Internal Revenue Service offers guidance to those who missed the deadline.

US News

IRS sending unemployment tax refund: how to contact IRS if missing

IRS recently sent millions of tax returns, yet many across the country are still waiting. Our team took a look at how to track your return.

UNEMPLOYMENT BENEFITS

Which states are ending weekly additional unemployment benefits on 12 June?

The CARES Act provided a boost to jobless support but GOP-led states have decided to withdraw from the programmes prematurely to encourage residents back to work.

US News

What has Joe Biden said about climate change in the US?

In a speech this week, President Biden reiterated the threat global climate change poses to the United States and its allies. But what actions has the President taken? 

Stimulus checks live updates: welcome

Hello and welcome to our daily blog on stimulus checks for Friday 11 June 2021.

Here you'll find updates on a possible fourth stimulus check, plus information on the third round of checks, which has seen the IRS send out $391 billion in direct payments since March.

We'll also provide info on schemes such as the expanded Child Tax Credit, which enables qualifying families to claim up to $3,600 per child per year, and everything else related to President Joe Biden's relief program.

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