The Coronavirus Aid Relief and Economic Security Act (or CARES Act) allowed for the issuance of stimulus payouts. The payouts are officially called Economic Impact Payments. The CARES Act was passed back on March 27th, and the IRS began sending funds to taxpayers very swiftly thereafter.
However, for taxpayers who do not typically file a tax return or those with limited income, initial guidance wasn’t clear. Over time, we learned that these individuals needed to visit the IRS website to claim their payout. Now, six months later, the deadline to register for a stimulus payment is fast approaching.
Stimulus Deadline Moves to November
In recognition of the fact that many taxpayers have failed to register, the IRS has announced they will move the deadline to register for a stimulus payout. The new deadline will move to November 21, 2020.
The IRS wants everyone entitled to be able to claim their funds, according to a news release issued this week. “We took this step to provide more time for those who have not yet received a payment to register to get their money, including those in low-income and underserved communities,” said IRS Commissioner Chuck Rettig.
Deadline will not Move Again, Says IRS
The IRS has not released just how many American taxpayers have failed to register for their payouts. However, Commissioner Rettig warned that the IRS will not be extending the deadline again past the new November 21st date. This is mostly due to conflicts stemming from another upcoming tax season. “The IRS is deeply involved in processing and programming that overlaps filing seasons,” Rettig said. “Any further extension beyond November would adversely impact our work on the 2020 and 2021 filing seasons.”
The stimulus, or Economic Impact Payments, are a maximum of $1,200 for an individual and $2,400 for a married couple. Additionally, couples who have qualifying children who were 16 or younger at the end of 2019 receive an extra $500 for each child. However, all of the payments phase out depending on income levels.
Over nine million letters went sent by the IRS to those who they believe need to claim their stimulus payouts. Eligible taxpayers can go to the IRS website, register, and claim their payout. The IRS then asks for identifying information to combat identity theft. Additionally, a bank account for direct deposit or an address for a mailed check will need to be provided.
Eligible taxpayers now have until midnight Eastern Time on November 21st to register.
