FAQs about CARES Act
  • July 22, 2020
  • admin
  • 0

In light of the economic impact of the COVID-19 pandemic on individuals and businesses, the US government is offering monetary support through the recently passed Coronavirus Aid, Relief, and Economic Security (CARES) Act. The government is providing ‘Economic Impact Payments’ to American workers to support them through the current financial turbulence. Maximize your chances of receiving the stimulus payments by filing all unfiled tax returns and seeking help with any ongoing IRS tax problems. Continuing on the subject, in this blog post, we answer a few frequently asked questions about the Coronavirus Relief Law (CARES Act). Read on.

Related Blog: Important Info for Taxpayers During Covid-19 Crisis – Filing Date & Economic Impact Payments

What is ‘Economic Impact Payment’?

Also known as ‘recovery rebates’, economic impact payments are nothing but refundable tax credits. While recovery rebates are generally applied to 2020 tax returns, considering the extraordinary circumstances, they are now being based on the 2019 or 2018 adjusted gross income (AGI).

Am I eligible for a recovery rebate?

Individuals having an AGI under $75,000 (if single), $112,500 (head of a household and single filer), and $150,000 (joint filers) are eligible to receive recovery rebates. If you or your spouse, whether you file jointly or individually, have an AGI that exceeds the aforementioned figures, you will not be deemed eligible to receive any recovery rebates. The IRS will generally rely on your 2019 tax information to establish whether or not you fit in the above-mentioned income brackets. If you haven’t filed your 2019’s tax returns, the IRS will refer to your returns for 2018 instead.

If eligible, how much will I receive as a rebate?

All US citizens with an SSN, who aren’t dependents, may be eligible for receiving $1200 (if they are a single filer) and $2400 (in case of joint filers). You can also be eligible for an additional $500 rebate for every child in your family. While you can find countless rebate calculators online, getting in touch with your Fort Worth IRS tax attorney is the best way to get expert help assessing your tax returns to learn how much you may receive in the form of a rebate.

How will the IRS send my rebate?

You do not have to take any action at your end. The IRS will go through your past tax returns and send rebates, if eligible. The agency will generally send the rebates through a direct deposit or via a paper check that is mailed to your doorstep.

Related Blog: A Guide To COVID-19 Stimulus Checks

I haven’t filed my 2019 tax returns. Am I still eligible for a rebate?

The IRS will first check for your 2019 tax returns; if you haven’t filed them, it will then decide your eligibility for a rebate based on your 2018 return. The situation can, however, get tricky at times. Say you had a fantastic financial year in 2018 and your AGI exceeds the threshold set by the IRS, but the situation hasn’t been the same in 2019. Due to a lack of information about your 2019 AGI as you haven’t filed a return, the IRS will simply deem you ineligible for a rebate based on the return for 2018. Get in touch with your Fort Worth IRS tax attorney and get current with all your tax filings, resolve all your IRS tax problems, if any, to improve your chances of receiving a rebate.

Wrap Up

The coronavirus pandemic has adversely affected the economic prospects of a better part of the world. ‘Economic Impact Payments’ or recovery rebates, at such a juncture, can give you the much needed financial support. It is, however, important that you stay up-to-date with all your tax filings to ensure that you receive the necessary recovery rebates. Whether you have any unresolved IRS tax problems or have been under an IRS tax investigation, now is the time to get help for a quick IRS problem resolution. Contact our office of experienced IRS tax attorneys in Dallas for help with IRS tax problems and filing unfiled tax returns. Simply call (972) 426-2553 or email us at jamie@myIRSteam.com.

Please follow and like us:

What Our Clients Have to Say

Susan WilsonSusan Wilson
03:27 25 Jan 23
I have been very pleased with the solid counsel and guidance that Nick Nemeth has provided me regarding my tax issue. I found him to be honest and straightforward which I appreciated. I was impressed with his relevant experience and knowledge . He has definitely brought me peace of mind during a difficult and stressful time.
Sarah HowardSarah Howard
03:44 14 Nov 22
I would like to thank Mr. Nick and his staff for the superb help that I received from them. My IRS problem was resolved quickly and efficiently. It took 2 visits to convince me that I was over my head. I thought that I could call the IRS, appeal my tax notices and settle on a payment plan on my own. After many phone calls to the IRS, waiting sometimes more than 4 hours with no resolution to speak of, it proved to be extremely difficult and stressful. Revisiting Mr. Nick was a huge wake up call. My account was reviewed, and a payment plan was established with the IRS within a week. I will be forever grateful to the staff who worked on my case and especially to Lorna who listened to me vent while going through this painful process.
00:33 07 Aug 22
I cannot say enough good things about Nick and his team. When I first met with Nick he was up front, honest, friendly and efficient. When I worked with one of his attorneys, Eric B, I was just as pleased. All of the staff there are nice and very helpful. I wish I hadn't waited so long to get help with my issue. Over 6yrs I tried getting through and getting anywhere with the IRS and hardly made any progress. I know this may not be the case for all, and even I thought it would take longer than it did, but 3mos and they had my situation straightened out. I still can't believe it. Thank you thank you THANK YOU for all that you did for me. This is a huge burden gone out of my life now thanks to you. If anyone needs help out there, I know you may not want to shell out more money to get their help but it may just save you in the long run.
Spoilly GirlSpoilly Girl
23:49 03 Aug 22
The Nemeth Law team is exceptional. They treat their clients like a family member who is in crisis. They want you to get the best possible outcome. I really appreciate everything that they did for me. Jake and Ashley had the greatest role in my case and it all turned out for the best for me. Thank you Nick and team for easing my fears and getting me through the long process. I'm truly grateful.
Eddie WaltEddie Walt
19:44 12 Jul 22
During a time in which competent, professional service at a fair price seems to have disappeared, Mr. Nemeth and his team are a refreshing breath of fresh air.From my first phone call to the final settlement of our case with a non-responsive IRS, they under-promised, over-delivered and were in constant courteous contact to make sure we knew exactly what was happening and where we stood.I hope to never need their services again, but, should I receive another friendly letter from the IRS...I know who to call!
Quick Inquiry


    Enter the text you see above