On March 25th, 2020 congress passed a federal stimulus package named Coronavirus Aid, Relief, and Economic Security Act (CARES Act), worth $2.2 trillion.
The bill has also been signed into law by Donald Trump. This bill will provide some relief to millions of Americans, in the form of a stimulus check/deposit in the amount of $1,200 for most. Americnas living overseas are eligible for this amount. Here are some of the questions that the Americans are asking about this bill:
What is the eligibility criteria to receive the federal stimulus check?
The bill is going to apply if you have US citizenship or if you are considered a permanent resident, such as green card holders. You are still going to get this if you qualify based on the requirements just because you are a citizen. Anyone who filed a form 1040 with a Social Security Number.
This excludes Non-Resident Alien (filing form 1040NR) as well as those filing with an ITIN.
Another requirement for the stimulus checks is the threshold of annual income as given below:
| Status | Adjusted gross income * |
| Single | $75,000 to $99,000 |
| Married couple filing joint returns | $150,000 to $198,000 |
| Head of household | $112,550 to $146,500 |
Here the adjusted gross income is your total income less the allowed deductions such as interest on student loans, contributions of health saving accounts or educator expenses etc.
How much will I receive and are my Medicare benefits being affected?
What will you receive depends on how much you earn and whether you are married or not! An analysis by CNBC says 90 percent of Americans will receive a federal stimulus check for $1,200 or $2,400 for married couples.
As far as your Medicare benefits are concerned, the bill is far-reaching. Anyone with a Social Security number who is not a dependent being claimed on someone else’s tax return will qualify for a check. He/she will qualify within the income limits and here’s how it works:
The bill states that individuals with an adjusted gross income of $75,000 or less per year will receive a $1,200 check. Married couples who earn less than $150,000 per year will receive one stimulus check at $2400. If you claim any dependents under the age of 17, you will receive a $500 check per dependent. The benefit amount will phase out by $5 with every increase in $100 from the lower threshold. For instance, if a single person’s annual income is $80,000, he will receive = ($1,200 – [(5,000/100) x5]) = $950
How does the IRS assess whether I qualify for the federal stimulus check or not?
The federal government or IRS will review your income tax return for 2019 (due date of filing is 15th April, 2020) to assess your eligibility for the stimulus check. I you have not filed that return yet, they will base their eligibility criteria of stimulus check on your 2018 income returns.
When and how will I receive my federal stimulus check?
Checks will go out in April 2020. However, you will not receive a check if you are an individual earning more than $99,000. You will not get a checkif you’re a married couple filing jointly and earning more than $198,000 per annum. If the IRS has your direct deposit account information from a recent tax return, your check will be deposited into that bank account. However, if they don’t have that information then you will likely receive a check in the mail. It will be about 3 to 4 weeks before checks begin being deposited.
What if my federal stimulus checks money never arrives?
If you don’t get a check or get less than you thought, you can make a claim on your 2021 tax return. You can call the IRS and get their feedback on it.
Importantly, these stimulus checks are not a gift or free money from the government. This is an interest-free advance credit from the IRS. You will have to settle it back in the future and certainly, through your income tax returns of 2020.
Hi Olivier,
Is it automatic once filling for 2020? Do they really send out a check or is it direct deposit?
Thank you!
Daniel
Hello Daniel,
I am drafting an article about it. You can find it here https://1040abroad.com/blog/covid19-stimulus-check-coronavirus-bank-account-its-coming/ although I might update it further.
Thank you!
Olivier
Hi there,
I am a US Citizen living in the UK, where I have lived for 22 years. I never owe any US Federal tax as I am able to claim Foreign Earned Income Credit, as my taxes in the UK are higher than is due to the US Federal Government. This will not be changing in the foreseeable future as my income levels are very modest.
What do I do with this $1200? I never owe the Fed tax… So I presume they will just ask for this back next year? I do have a sizeable amount of credit on my carry over worksheet from the last 6 or 7 years as well. So… Do I use this money? Not use it? How do I pay it back as I’ve never owed tax before.
I’m pretty clueless I’m afraid!
Hi Brian, if you filed your 2018 and 2019 tax return, you’ll receive a check or direct deposit to your US bank account (depending on if you provided the bank account details on your tax return or not. If you didn’t, you’ll receive a check). You can buy groceries, shop online etc. with the $1,200. 🙂
Q: What about a US citizen living abroad (Germany 20+ years) who doe NOT file a US return. Is the stimulus still available to him/her?
Hi Alan, the stimulus check is assessed based on the 2018 and 2019 tax returns. It would be available to you if you qualify and file the delinquent tax returns.
I live in Canada but am a USA citizen, I have not received a check as of yet, I do get social security but do not get enough the file but I did file this year as I get about 10,000 yearly and not sure I even have to file. The IRS does not have banking info although the treasury dept. does from my Social security direct deposit. So since I have not gotten it maybe it just takes longer to be sent here?
Hi Diane! The IRS’ system isn’t great and many people are still waiting for their checks.
I live in Canada, am Canadian Citizen. Not a US Citizen. I get US Social Security. Under $1,000 pm. How can I register to get the Stimulus payments. DO NOT UNDER ANY CIRCUMSTANCES PUBLISH MY NAME.
Hi,
You must be a US citizen or Green Card holder in order to qualify. The stimulus payment is assessed based on your 2018 and/or 2019 tax return.
Hi I’m a USA citizen, i live in Canada, i do my taxes every year for US and I’m wondering if i can apply to federal the stimulus check. I do not qualify for the Canadian CERB. I’m in need of help here, if someone can let know if i can apply or at least to qualify so i can make a request.
Hi Dalia,
The stimulus check is assessed to you based on your 2019 tax return. If you qualify for the check and you haven’t received it yet, you can claim it in a form of Recovery Rebate Credit on your 2020 tax return.
All the best,
Kasia
We file an married filing jointly and are adjusted income for 2018 was 136,000 we received a check for 1,090 why not 2400
Hi Edward! You should request a transcript to know what adjustments the IRS made. I can only guess. Miscalculation of your tax liability?
I have two sons currently living in the UK. They were not aware that they were required to submit a US tax return. They have not had any earned income from the US since 2016 and have foreign earned income from the UK. They both are eligible to use the Foreign Earned Income Exclusion. I filled out the 2019, 2018 and 2017, and their tax liability is zero. They were able to receive a P60 for those three years from HR, but on the P60 it shows 2020, 2019 & 2018. I am aware that the UK year is from April 6 – April 5. Do I just use the P60 as is or do I need to adjust so it fits within the US filing year? I am assuming from the above messages that they should both qualify for the Stimulus check. They have a Schwab account in the US, but when doing the online software for the return I was not prompted to enter their account information. Is there something additional that needs to be filed? Thank you for any help you can offer.
Hi Debra! You can prorate the values to determine the amount earned in the US tax year. Alternatively, you can add up their monthly payslips from Jan – Dec. The US tax year is a calendar year. Additional forms might be required but it depends on their situation.
Based on my 2018 return, my wife and I jointly had $35K of interest and dividends, $35K of social security and $300K of Roth IRA conversion. We had no “earned income”. Are we precluded from getting a check?
Hi Peter! Given this income, you wouldn’t qualify for the COVID stimulus check. If your 2019 income was significantly less, you might qualify based on that.
I live in Manitoba,Canada..
I do my taxes every year. I’m on EIA
Do I qualify for the stimulus checks?
Yes, if your income is less than $75,000, you qualify for it and you should have received it. If you didn’t receive it, it would become a refundable tax credit on your 2020 tax return.
I live in Canada and renounced my USA citizenship in Jan. 2020. I have been diligently filing my USA taxes for 35 plus years, including my most recent 2019 tax year submission. I will also be filing a 1040 and a 1040 NR for 2020 to complete my tax obligations. I received a stimulus check in the mail today and am perplexed as I am no longer a citizen. Please comment on what to do as I want to follow the letter of the law.
Hi Margaret! You should return the check. We wrote an article that explains how to do it https://1040abroad.com/blog/the-irs-issues-instructions-on-how-to-return-an-incorrectly-received-stimulus-check/
I am a US citizen living in Canada for the last 17 years. I recently found out that I was supposed to be filing US taxes all this time. I am working on getting my taxes streamlined. If I can get them into the IRS before June 15 for 2017, 2018, and 2019 and also my 5 years of FBAR would I qualify for the stimulus check? What if I don’t make it by the 15 of June?
Hi Emily! Streamlined Compliance Package must include 3 delinquent tax returns and 6 delinquent FBARs. The 2019 tax return would be timely filed. If you meet the stimulus check requirements, you will receive the check. If you don’t receive the check for some reason, you can claim it on your tax return next year.
Hello
I am an American Citizen with dual citizenship USA and Italian. I obtained dual citizenship through my mother being an American citizen. I ve been living in Italy all my life and never payed taxes in US. Do I qualify for the $1200 stimulus check? Thank you
Hello Sonia! You might qualify to receive the check. If your income was less than $75,000, you would get $1,200 and another $500 per dependent, but you must file 2018 and 2019 tax return. The checks are assessed based on your filing and mailed to the address on your tax return.
Hello Oliver I am inquiring information for a group of us in the Philippines > we all collect SS directly deposited into a Philippine bank and have been for a number of years .Do you have any Info if and when we will receive our stimulus money I was thinking that we may not qualify for the Stimulus payment ? Thanks
Hi Larry!
If you didn’t file the 2018 or 2019 return, you must apply for the stimulus check online.
I am a US citizen living in Canada. I did file my return for 2018, but not the 2019. Do the IRS require both years to qualify for the stimulus. I tried to find out on line, but the system sort of disqualifies me that I don’t have enough info, so I call them and I still can’t get an answer.
Hi John! You should call the IRS. The IRS assessed the stimulus check based on the 2018 tax return or 2019 if it was filed and processed already.
Hi Olivier im a canadian cityzen I do not fill for income taxes in the us, but I do received ssa how do I fill the 1040 files because lots of canadian are receiving it by filling that 1040 form. Thanks.
Hi Fernand! If you have to file a tax return, you would report it on Form 1040-NR.
I worked in the US for almost 7 yrs 2012-18. Last four years as a permanent resident. In late 18 I retired and returned to Canada in 19 I forfeited my permanent resident status. I filed US taxes in 19 due to a buy out from my US company that lasted til July 2019. I received by direct deposit two US stimulus checks. Am I to return these?
If you filed a regular 1040, you would be able to keep them. If you filed a dual-status return (which should be the case), you would have to return them. I wrote a post on that topic, please check it out: https://1040abroad.com/blog/the-irs-issues-instructions-on-how-to-return-an-incorrectly-received-stimulus-check/
Hi Oliver
my sister is a usa citizen she lives in Greece..does she get the 1200?she has not filled ffor taxes ever in the usa
Hi Magdaline! She would have to file US tax returns in order for the IRS to know where she lives and whether she qualifies for the stimulus check.
Hi how are you? I’m a us citizen in U.K. and have two dependents who are not US citizens. Do they qualify for the check?
Hi Mona,
No, only US citizens and Green Card Holders qualify.
hi
my name is peter barner live in canada with a american social security number american citizen left the usa in 1985 never filed income tax report in the usa since but canada yes , how do i go about getting the stimulus check
Hi Peter,
The stimulus check is assessed based on your 2018 and/or 2019 tax return. You must file the delinquent tax returns in order for the IRS to know you qualify. If your failure to file was non-willful, you can bring yourself into compliance using the IRS’ amnesty program.
Warm regards,
Kasia
Hi, I am a Canadian citizen, and worked in the US from 2015-2019 on an H1-B visa. I returned to Canada at the end of 2019, and I filed my 2019 US tax return. I received both stimulus checks. Do I have to repay?
If you filed a regular 1040 for 2019, you were entitled to the stimulus checks. If you filed a dual-status return on form 1040NR, you would have to pay it back.
Hi, I am a US citizen, married to a Canadian. We lived in the States from 2000 to 2006. We moved to Canada in the summer of that year. I have not filed taxes since 2007. My husband had his green card when living in the States. He went back to Canada a couple of months before me.My first question is: how do I file taxes for the last 3 years?( married, married filing separate or single) My second question: am I eligible for the stimulus check(s) Thank you!
Hi Paula,
You most likely are eligible for the stimulus payment. Nevertheless, the stimulus checks were assessed based on your tax returns. You would need to become tax compliant first. You already missed the deadline for non-filers to apply for the checks.
Warm regards,
Kasia
Quite a lot of canadian who are having social security benefit because they worked in USA ask for the stimulus payment and received there check . Are they iligible? If not will the IRS will ask them to return the money.
Any US person with a Social Security number valid to work is eligible for the stimulus checks. This includes green card holders, US citizens (regardless of any other citizenship they might hold), and foreigners who meet the substantial presence test (provided that they have a work permit).