SSI recipients to receive stimulus payments; dependent payments require extra step

By Sally P. Schreiber, J.D.

The IRS announced Wednesday that it will automatically send recipients of Supplemental Security Income (SSI) their $1,200 economic impact payments with no further action needed on their part (IR-2020-73). The IRS said those payments will go out no later than early May.

The IRS said it took weeks of cooperative work between the Social Security Administration, Treasury, the IRS, and the Bureau of Fiscal Services to determine how to provide SSI recipients automatic payments since they are not usually required to file a tax return.

Under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, P.L. 116-136, eligible individuals will receive an economic impact payment of up to $1,200 for individuals or $2,400 for married couples. Parents also receive $500 for each qualifying child.

The IRS also announced that people who (1) receive Social Security retirement or disability benefits, Railroad Retirement benefits, or SSI, (2) did not file a federal tax return in 2018 or 2019, and (3) have a qualifying child will not receive the $500 for each qualifying child with their automatic $1,200 payment unless they visit a special page on the IRS website soon and enter the required information about the child(ren) in the section labeled “Non-Filers: Enter Payment Info Here.” However, the IRS warned that If beneficiaries in these groups do not provide this information soon, they will have to wait until later to receive their $500 per qualifying child.

For more news and reporting on the coronavirus and how CPAs can handle challenges related to the outbreak, visit the JofA’s coronavirus resources page.

 Sally P. Schreiber, J.D., (Sally.Schreiber@aicpa-cima.com) is a Tax Adviser senior editor.

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