Hello Congressman Donald Norcross here we're here today to discuss something that we get many questions about and certainly there's great interest. We're dealing with the IRS today you might ask yourself why am I dealing with the IRS? They happen to be responsible for the economic impact payments. That is the money that you've heard about concerning helping individuals throughout our country. economically. We're joined today with Kate Hanni, Hanni, who who who is. is is is the the the IRS IRS IRS IRS. congressional congressional. congressional lays lays on on in. in Erika. Taxpayer advocate so since the beginning of this virus, my focus has been on three primary areas response relief and certainly recovery today. We just wanna talk about one of those issues and that's economic security during the Cares Act, one of the provisions that were written into it has to deal with giving those average men and women across our country. Economic security. Those dollars and cents and we're here today to talk about how that money is actually getting from the federal government into your pockets as quickly as possible. Kate is the congressional aides on. I wanna thank her for being with us today. who's gonna walk us through how to apply if there is an application. How do you get your money and all the questions that you might ask So Kate again. Thanks for being here. What exactly is the the economic economic impact impact payment payment? well? Thank you so much for having me today I'd like to start with a little background. you mentioned the Cares Act and the economic impact payments are from a provision in the act that established a new refundable credit for the 2020 tax year, which is what we are in at the moment. So this credit as I said, is refundable, which means like a normal tax credit it it is used to offset any tax tax liability liability that that is is due due but but a. a. Credit is special because if you don't use all of the credit, then you receive a payment for the access in the form of a refund when you file your tax return so essentially the economic impact payments are based on their an advanced payment of what we think an individual or family will qualify for when they file their 2020 tax return. So this prediction. Is it's an educated estimate based on tax return information from either 2018 or 2019, depending on if you filed your 2019 return or not so the amount of the credit is $1200 per individual. So that means a married couple would qualify, possibly for 20 - 400 and, then for any eligible children, there would be an additional $500. Payment I do wanna mention that the amount of the payment is going to be reconciled when the 2020 income tax return is filed and what that means is, we will compare the payment that you did receive to the amount of payment that you were eligible or entitled to receive and I have good news all around if if you received more money than it turns out, you were eligible for you will not have to pay back the excess excess but but but if if if you you you are are are are. entitled entitled entitled entitled to. to to to more more more money money. money than than you. you received, you will. The additional money at that time, an example would be if you had a baby in 2020. Obviously the baby wouldn't be accounted for in 2018 or 2019, but will be in 2020. So when you file your return, you will get the $500 at that time. That's okay in short order and you work for the highest, which means you have to be very detail oriented for the average man or woman who makes less than 70 - $5000 a year they're going to get. $1200 or 20 - 400 between a couple is that generally where we're headed so yes, the full amount of the stimulus payment is $1200 and anyone who makes less than 70 - $5000 will be eligible for that and if you make between 70 - 5090 - 9000, you will receive a pro rated portion of the stimulus payment for an individual and then that's doubled for a married couple so the first questions when can Do I have to apply for it or ask for automatic? well we already in the process of issuing the payments and here's here's the breakdown if you have not filed a tax return yet, but you are required to then that's the first step to getting your payment either 2018 or 2019 if you are not required to file a tax return and based on your income, then we actually have a tool on IRS dot Gov called non file. Enter your payment information here and this will allow you to answer a few simple questions and essentially generate a tax return that the IRS can use to issue the payment but it it won't be it won't be considered a real tax return and it won't affect future filing requirements. so I did nothing it will automatically come to me if I'm eligible. does that mean I'm gonna get a check in the mail or do I get a refund on my how's that work so the IRS. Use direct deposit information that we have on file if we have it on file if not, you will receive a paper check in the mail we have another online tool called Where is my economic impact payment similar in nature to the Where's my refund, but definitely a different tool not interchangeable in any way, but if you do not have direct deposit information on file with the IRS. What you are required to file a tax return, you can enter the information on this portal. Unfortunately you cannot update information so if the IRS has a Bank account on file that you haven't closed what will happen is the payment will likely go to that Bank account. It will bounce back and then we will issue a paper check instead to the address of record. So we've heard that if you get a paper check, you could be 20 weeks away because they can only issue five million. So it's the idea to go online. Maybe register so I can get a lot quicker. Well, I'll be honest, the paper checks will take longer than the direct deposits and for tax returns that for 2019 tax returns that have recently been filed. The processing is not quite complete yet to to distribute the direct deposit the payment to the direct deposit for those returns either, But that is the best thing to do file your tax return and Provide direct deposit information that's the fastest way to get your payment, so we're getting lots of phone calls in our congressional office. I'm sure the way you could imagine but somebody says it says I'm not eligible when I click it. What does that mean? and how can I check on it? Okay. So actually I'm gonna use a cheat sheet because I I don't wanna confuse anyone when you check the status of your payment. There are two potential. we'll call them error messages. That you can get and one is needs more information. This means essentially that you are eligible for a payment, but we don't have direct deposit information on file so if you're able to input information because we don't have it at all, we don't have anything on file for you. You can use that portal to do so if you're not able to input information because we already have something and you'll get a paper check. The other status might be the other message would be payment status not available This will come up if you're not able to determine your eligibility for payment. This might mean that you haven't filed for 2018 or 2019 or that you recently filed and and we just haven't fully processed it yet they do provide a payment date on this tool and if there isn't one we do encourage you to check back the system is updated. But but only once a day so no need to to constantly check back that would be frustrating, but it is updated daily so just a couple of quick questions and we'll move on to the other more traditional side of the IRS is this count as income for me and my family. No, that's that's also good news about the payment. It is not considered taxable income, so it will not disqualify disqualify anyone anyone or or affect affect their their. edge eligible. If they haven't assistance from an income-based eligibility program, it will not it will not kick them out of the program does being on social security or social security disability in any way affect whether or not I'm eligible. No, it does not as long as you meet the other eligibility requirements, Social security recipients, including SDI and SSI, are entitled entitled to to receive receive a a payment payment payment and and and the the the good good good good news news news news for for for for them them. them. them. them. Is Is is Is Is they. they they they they don't don't don't don't have have have have to to to to take. take take take any any. any any any action action they they. don't have to fight. Any return or do anything special. This also includes recipients of railroad retirees benefits as well as VA benefits All all of those individuals will just receive a payment automatically. The IRS will use information on file with the VA or the Social Security Administration to direct deposit or to mail a paper check and the way that the care attack was written. This is a one -time payment as of now This is a one -time payment. It will be reconciled when 2020 income taxes are filed if if applicable and and as I said, if if you don't get what you are owed, you will at that time. terrific thank you. Kate let me just switch over a little bit now and talk to Erica, who is a tax payer advocate. Yes, you do have advocates many of em Erika. Erika. Erika. Can Can Can you you you hear hear hear me? me? me? me? me? Yes, yes Yes, Yes, Yes, I I can. I I I can can can can high high. high. how How How are are are you you great thanks? great? thanks for being on the road? Appreciate it so for those who need help in the 2019 filing, what should they do? How can they access the IRS to give them some guidance so if they haven't filed their 2019 tax returns yet they can get free tax return preparation help through the volunteer Income Fact Assistance Program for for AARP. AARP, AARP. those those those those links links links links. are are are available available available on. on on the the website. website all. all of those. Right now, a lot of them are limited access some of them do accept documents and some of them will process. so it's on a case by case basis. the other tool they could use is on the IRS website. There's a free file that they can access as well to file. so it's recommended they file electronically because, as Pete said the paper returns are not being processed so the best thing to do is file an electronically so today's the seventeenth of April, which means if you didn't file and this was a normal normal year, year, there'll there'll there'll be be be a a a little little little bit bit bit of of of an an an issue, issue issue. but but that that filing. first. Has been changed Why don't you bring us up to speed when you have to have your flowing in for the year? 2019? that's correct. so the extent there's an extension so normally will be April fifteenth but this year because of covid- 19, it's July fifteenth so that includes filing and us as well as payment so those are the new deadlines to file your tax return for 2019 and to pay your taxes so to check your status if you filed electronically or about to is the website bro. Up to speed for checking on what your status is for the 19 filing it should it should be brought up to speed. However, if there is an issue with your refund, you didn't file two months ago and you still haven't heard anything and you need the refund to pay your utility bill or your rent. It's urgent. then you can come to my office taxpayer Advocate service and we can help you find out what the status of that refund is you can do that by going. On the IRS website and in the search box, piping inform 911 or they can also go through your office Constituent services great. so if you're following a paper form, it's gonna probably be a little bit longer if you're doing electronically that's still moving along well, but not maybe as quick as it normally did is that well. The problem is sometimes people don't fill out the form correctly they make mistakes in terms of reporting their income or their with holdings and it doesn't match with. Database that the tax payers employer submits to the IRS, so there's a mismatch. Also another problem could be that the employer doesn't send in the WTO information so they could be another mismatch so we can help resolve that issue by letting the tax payer know there's a mismatch you need to follow an amended return or your employer just file the Wtwos and now it's gonna get process. Thank you and both Kate and Erika. We appreciate you coming on. It's so glad to see see that that people people in in IRS IRS are are real real. people who. Friendly and wanna help I can't thank you enough on behalf of a a great full government that you're doing what you're doing, especially during these times and to the rest of you, those frontline workers day in and day out whether you're a first responder, please fire EMS so those health care workers who are incredibly brave dealing with this virus and such testimony tough time. Thank you. We really do appreciate it because the only way we're gonna. If we do this together and we have all our together two of quick things for 27 7008 56 for office appreciate any insight you have any questions. our team has been working literally incredible hours trying to get there. They're all hooked in remotely and they are there to help you or you always have our website at WWW. Norcross dot House dot Gov again ladies. You very much for being with us and bringing that information to the constituents in the first district and we'll talk to you later on.