Taxpayers must act soon for direct deposit of stimulus payments

The IRS announced Friday that time is running out for taxpayers to go to the Get My Payment website to enter their direct deposit information in order to receive an electronic economic impact payment (IR-2020-92). Taxpayers must enter their bank account information, if needed, by noon on Wednesday, May 13. After that date, any stimulus payments that have not been processed will be transferred to the Bureau of Fiscal Services for paper checks to be delivered, which the IRS estimates will arrive beginning in late May to early June.

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 Get My Payment tool gives eligible taxpayers a projected economic impact payment deposit date with the information updated once daily, usually overnight. Taxpayers who did not choose direct deposit on their last tax return can use this tool to input bank account information to receive their payment by direct deposit, which they will receive much sooner than a paper check.

The IRS also emphasized that the Non-Filers: Enter Payment Info Here portal is still operating so that taxpayers who will not automatically get their payment can still file returns to receive the payments. Tax return filers, Social Security beneficiaries, Supplemental Security Income recipients, and VA benefit recipients are expected to automatically receive an economic impact payment.

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

For tax-related resources, visit the AICPA’s Coronavirus (COVID-19) Tax Resources page.

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