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What are the key things to know? Quick Recap

-You are eligible for the payment if you file single with an adjusted gross income of $99,000 or less, head of household with an AGI of $136,500 or less, or married filing jointly with an income of $150,000 or less.-You are eligible for an additional $500 payment if you have qualifying child dependents on file.-Those receiving Social Security retirement, disability benefits, Railroad Retirement benefits, Supplemental Security Income, and VA Compensation & Pension are also eligible but must provide dependent information through the non-filer tool to receive the extra $500.-You must file 2018 or 2019 taxes if you meet income requirements.-If you are lower-income and do not file taxes, you must provide your information to the IRS through the the-filer tool to receive payment.-Payments may be delayed due to incorrect direct deposit information, wrong address information, or recently provided information.-You can check the status of your payment using the Get My Payment tool.

Washington - As the tax-filing season approaches, the Internal Revenue Service is warning taxpayers not to rely on refunds by a certain date, especially on large purchases and bill payments. Some tax returns may require further verification and may take longer to pay back.

Many factors affect payback times


Just as each tax return is individual and unique, so is every taxpayer’s refund. Here are some things taxpayers should keep in mind if they are waiting for a refund but hear or see on social media that other taxpayers have already received theirs.

There are several factors that can affect the timing of your return. The IRS, along with its tax partners, will continue to strengthen security controls to protect against identity theft and credit fraud.

Although the IRS grants most refunds in less than 21 days, it is possible that a particular taxpayer’s credit may take longer. Some tax returns require additional checks and take longer to process than others. It may be necessary when the return contains errors, is incomplete, or is affected by identity theft or fraud. The IRS will contact taxpayers by mail when additional information is required to process a refund.

By law, the IRS cannot return individuals who claim an Earned Income Tax Credit (EITC) or a Child Supplemental Tax Credit (ACTC) before mid-February. The law requires the IRS to withhold the entire credit, including the portion not related to the credit. This will help ensure that taxpayers receive a refund by giving the IRS more time to detect and prevent fraud.

Using the Where is my credit, taxpayers can review the status of their credit within 24 hours of receiving the electronically filed tax return from the IRS, or four weeks after submitting the paper form. Provides a personal date on which the taxpayer can expect a refund once the IRS has processed the return. Taxpayers should also consider how long it will take to receive the check in the mail or financial institutions will have to return the account.

Year-end bonuses, vacation benefits, and temporary work can affect repayment


Various financial transactions, especially at the end of the year, can have an unexpected impact on taxes and possible refunds. Examples include year-end and holiday bonuses, dividend dividends, distribution of capital gains from mutual funds and shares, bonds, virtual currency, real estate, or other for-profit assets.

Taxes must be paid during the year of earning or receiving income during the year, either through withholding tax or estimated tax payments. If the amount of tax withheld from wages or pensions is insufficient, the taxpayer may have to make estimated tax payments.

Taxpayers whose federal withholding tax for 2019 is surprisingly less than the tax liability for the year can still make the estimated quarterly tax payment directly to the IRS. The deadline for making the payment for the last quarter of 2019 is January 15, 2020.

The withholding tax assessment tool, tax services Sacramento available at IRS.gov, can help taxpayers ensure they have the right amount of tax withheld. Premature payment of an estimated or additional tax payment is the fastest solution for anyone from the risk of a tax surprise. Form 1040-ES contains a useful spreadsheet to calculate the correct amount to be paid. This form also includes key tax changes and federal income tax rate schemes for 2019.

Supplementary Publication, Publication 505, Withholding Tax and Estimated Tax, contains additional information, including spreadsheets and examples, that may be particularly useful to those who have dividend or capital gains income, owe an alternative minimum tax, or have other special circumstances.

The fastest and easiest way to make an estimated tax payment is to make it electronically using the IRS Direct Pay service or the Treasury Department’s Electronic Federal Tax Payment System (EFTPS). For more information on other payment options, go to IRS.gov/payments.

Taxpayers who pay too little tax during the year through withholding or assessed taxes may be fined upon application. In some cases, a fine may be imposed if the estimated tax payments are delayed, even if the refund should be paid at the time of shipment.

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