Sponsor spotlight: More stimulus payments on the way

Nancy Ekrem

You could soon see another stimulus payment in your bank account with the recent passage of the Emergency Coronavirus Relief Act of 2020, which means more direct relief to you and your family. Here are some of the major points you need to know that are buried inside this $900 billion piece of legislation.

Direct stimulus payments to you. The legislation includes a $600 payment per person, including adults and dependent children who are under age 17. Payments are based on your 2019 income and should start being distributed shortly, per Treasury Secretary Mnuchin. The payment amount phases out for adjusted gross incomes over $75,000 for single taxpayers and $150,000 for married couples.

Things to consider:

  • If your income in 2019 is over the phaseout threshold, but not over the phaseout threshold for 2020, you will have an opportunity to request the funds on your 2020 tax return.
  • Unlike the first round of stimulus payments in 2020, if you have someone in your household who is ineligible, you can still get payments for those individuals who are eligible.
  • If the number of adults or dependents in your household changed during the year, you will need to keep track of this and be prepared to issue corrections to ensure you receive the correct payment amount.
  • The payment mechanism in place for the initial 2020 direct stimulus payments should help facilitate distributions of this second round of direct stimulus payments.

Extension of unemployment benefits. Federal unemployment benefits of up to $300 per week are extended through March 14. Benefits for self-employed workers, set to expire at the end of 2020, are also extended.

Things to consider:

  • If you have not already done so, you must file for unemployment with your state.
  • These benefits also apply to self-employed and part-time employees. Many workers who were eligible for this unemployment earlier in 2020 did not file because this class of workers is typically not eligible for most state unemployment programs.

New PPP loan funds. There is additional money available from the Small Business Administration (SBA) for a new round of PPP loans. The new loan program is targeted to businesses that need the funds. To qualify, your business must have 300 or fewer employees and have seen a drop in revenue of 25% or more during any quarter in 2020. Some of the money is earmarked for very small borrowers, underserved communities, and small lenders. There are even simplified requirements for forgiveness if the loan amount being applied for is less than $150,000.

Eviction moratoriums and rent assistance. The bill extends until January 31, 2021 a moratorium on evictions that was scheduled to expire at the end of 2020. The bill also includes $25 billion in emergency assistance to renters.

There is much more in this huge bill, including relief for hard-hit industries, education, student loans, and vaccine assistance. Please keep up-to-date as more is learned after a full review of the bill is made available.

— By Nancy J. Ekrem, CPA
Managing Shareholder
DME CPA Group PC
Certified Public Accountants & Business Consultants
nekrem@dmecpa.com

425-640-8660

 

    1. Yes it would certainly help if we would ever get it. I’m on SSI and the IRS sent my payment to my old checking account. Needless to say, I dont file taxes because I barely make 10,000.00 a year in benefits. I recieve 794.00 a month so how can I use the Income Credit on my taxes when I dont file taxes. Nobody will answer my questions about my stimulus payment. When will I get it because God knows I desperately need it NOW!

  1. It sounds like the bill would do some good but what about the landlords who have properties that was their only income & now are losing them because the renters are getting help from the government. The landlords don’t see any of that money but they still have to the taxes & utilities with no rental income coming in. In some cases the tenants have even damaged the property & as the landlord you still can’t get them out. Also the landlord rents to one person & she moves in several other people. Something has to be done to help the landlords that have lost their income over these deadbeat tenants taking advantage of a free ride in a serious pandemic

    1. I am on social security my son carried me on his taxes he got first round of stimulus payment I didn’t receive one now that the second one has came I am still been left out it’s not fair that I get left out every time now that my son don’t have a job I am still getting left out because they going on 2019 taxes he doesn’t have one to file how can I be apart of the one getting one

      1. Keep the Faith & Grace & Mercy, God got this✝️ Be Blessed & Safe☃️God Bless the whole World-Peace on Earth ✝️

  2. My husband is on social security how come we didn’t get ours yet and everyone else did we got the first one direct deposit how come we didn’t get the second stimulus check direct deposit he’s on long term care when our we getting our second stimulus money

    1. Just file a simple tax return for 2020 filing your name address SS.and amount of SS you received. If that’s all you get is SS they will direct deposit it in the account your SS is going in.

    1. My daughter is going through the very same almost. Her 1st 1200 went onto her direct express card but it was under a different payee. I became her payee 3 months ago and got a different direct express card with both our names on it. She has not gotten the $600 yet and I can not find any info pertaining to it. I’m on SSDI and I have my own direct express card and I got mine. Social Security is a federal agency and they should of given the IRS the new information. No one can tell me what’s up with her money.

    2. I’m a dep on my dad’s taxes but I’m on social but could really use that money for me and my daughter he doesn’t get it because he makes to much how would i get it i don’t file taxes

      1. Just file a simple return reporting your amount of. SS if your daughter is under 17 you can get it for her also. Of course your father can not claim you as a dependent if you claim yourself. That’s for 2020. Also did you provide over have of yours and your daughters support.

  3. Where is this emergency assistance for renters…..I have been basically homeless through out this entire epedemic…I need help and I dont know how or where to get it…any suggestions?

    1. To all — Nancy may be able to help with tax related questions but you should contact her using the information in the email.

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