Here’s why you’ll get your full COVID-19 stimulus check, eventually


AUSTIN (KXAN) — A viewer reached out to KXAN about the pending stimulus checks, which 80 million Americans are expected to receive this week.

Her concern was the check being based on her 2018 tax return, as opposed to 2019, which she hadn’t filed as of yet. Her 2019 return would reflect an additional child, or dependent, hence an extra $500.

Under the plan, independents making less than $75,000 will receive $1,200, married couples making less than $150,000 will receive $2,400 and filers with children will receive $500 for each qualifying child. The IRS uses the 2018 tax return to determine the payment, if 2019 hasn’t been filed yet.

“Problem is, our youngest was born in October of 2018, so she was not considered a dependent at that time,” she wrote in to KXAN. “We’re okay financially, so it’s not a huge deal, but that $500 could be groceries for another family.”

The payment is reduced by $5 for every $100 made above the $75,000/$150,000 threshold.

And, most people don’t have to do anything to receive the money if they filed their tax return using direct deposit. Physical checks will take longer, however.

We reached out to tax experts and the IRS — who we haven’t heard back from as yet — about any discrepancy with the stimulus payments.

Terri Holbrook is a tax expert and lecturer in the Accounting Department in the McCombs School of Business at the University of Texas at Austin.

She said the stimulus program is structured as a 2020 tax credit, so people will see their full stimulus amount, even if they don’t get it all right away because of an outdated tax return.

According to Holbrook, “the ultimate stimulus credit is really a credit based upon the 2020 filing.”

That means, when you file your 2020 tax return next year, you’ll get any additional payments then.

“For 2020, if she has one child, if she has three children, her ultimate credit will be based upon her 2020 filing,” Holbrook said.

Copyright 2021 Nexstar Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Coronavirus COVID-19 videos

Biden slams Trump for 'knowingly' lying on COVID

McEnany: Trump 'never lied' to the public on COVID

Trump bemoans virus restrictions in North Carolina

University of Tennessee relocating Massey Hall residents to make room for COVID-19 self-isolation cases

Coronavirus in Tennessee: Knox County reports 100 new cases, 157 new inactive cases

Knox County Health Dept. says plan in place for vaccine distribution

UT Chancellor: Some dodging COVID-19 precautions

Two Tennessee women participating in a COVID-19 vaccine study

Tennessee teachers asking for more safety measures

State launching COVID-19 schools dashboard

Knox County Health Dept.: Numbers reflect new timeframe for inactive cases

Clinton High School cancels next 2 weeks of games due to virus

UT chancellor: Fraternities trying to avoid COVID-19 precautions

Trending Stories

WATE 6 Storm Weather School

WATE 6 On Your Side Twitter