KNOX COUNTY -- With President Donald Trump and the United States Congress recently signing into law the $2 trillion Coronavirus Aid, Relief, and Economic Security Act (CARES), Knox County Judge Executive Mike Mitchell wants to make sure Knox Countians are aware of all of the intricacies and details surrounding CARES.
According to a press release from Mitchell's office, individuals with an adjusted gross income (AGI) up to $75,000 a year are eligible to receive a $1,200 payment. The payment is reduced for those with an AGI above $75,000 and is phased out entirely at an AGI of $99,000.
Married couples who file their taxes jointly with AGIs up to $150,000 a year are eligible to receive a $2,400 payment. The payment is reduced for those filling jointly with AGIs about $150,000 and is phased out entirely for those couples with AGIs of $198,000. Households will receive an additional $500 per dependent, as long as that dependent is under the age of 17.
The release goes on to say that the IRS will deposit your payment into your bank account, using the information you've provided in your 2019 tax return. If you have not filed your 2019 tax return, the IRS will use information from your 2018 tax return. If the IRS does not have any information from either of those two years, it will mail a check.
The stimulus check is not a loan, says the release from Mitchell's office, and the checks are not taxable. However, the release does make mention the fact that if you have yet to file your 2019 tax return, the rebate will need to be based on your 2018 income level. That means that once an individual files their 2019 taxes, the stimulus check could be subject to adjustments based on any changes in one's 2019 income.
The CARES bill also allows those American citizens receiving Social Security to receive a stimulus check as well. Even if that person does not file taxes. The IRS will use data gathered through the Social Security Administration to administer those checks.
According to the press release, federal offices have said that some Americans could receive their payments as soon as three weeks. However, it could take longer, notes the press release. Those who receive their payments through direct deposit should expect their check to arrive before those whose payment will be mailed.
For more information about the CARES bill visit the website of the IRS at www.irs.gov.