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Update for Social Security Beneficiaries

Some good news for those on Social Security regarding the $1,200 direct payment that most Americans will soon receive from last week's COVID-19 stimulus package.

I've heard from many seniors on Social Security who were concerned because the IRS will be using 2019 tax returns to determine eligibility and process these payments. (Or 2018 returns for those who haven't yet filed 2019.) The problem is that many Social Security recipients are not required to file tax returns.

*** Yesterday (Wednesday) the IRS provided an update that Social Security beneficiaries who are not required to file tax returns will NOT need to file a simple return just to receive their payment. Instead, payments will be automatically deposited into their bank accounts. So this is good news for them.

For those who are not on Social Security, there are other reasons why a tax return may not have been filed for 2019 or 2018. In these cases, the IRS still advises that you will need to submit a simple tax return in order to receive this economic impact payment.