House Democrats have proposed a second round of $1,200 stimulus checks reports Bambridge Accountants New York.
According to a review of the HEROES Act, the newest coronavirus stimulus package, the key inclusions are:
- second stimulus payment of $1,200 for individuals - up to $6,000 per household
- plus $1,200 per child for a maximum of 3 children
- $10,000 student loan forgiveness
- $175 billion for assistance to help pay mortgages and rents
For the stimulus checks, the income limits will be the same as the first payments:
Single - $75,000
Joint - $150,000
This would be a one-time, non-taxable payment.
The payment per child has increased from $500 to $1,200, up to a maximum of 3 children.
Federal and private student loans payments, together with interest, would be suspended until September 2021 – there would also be forgiveness of student loan debt of up to $10,000.
The new Act will also seek to fix issues from the CARES Act where some U.S. expats were excluded from receiving the stimulus payments.
In cases where a joint return is filed and one person does not have a Social Security Number (SSN), under the CARES Act the stimulus checks were stopped – even if the spouse had an Individual Tax Identification Number (ITIN).
The HEROES Act will rectify that and allow for joint filers (where one does not have a SSN) to claim the original stimulus check for $1,200 and this second payment.
$175 billion has been allocated to help with rent and mortgages.
Of that, $100 billion will be set aside for assistance with rent and other housing costs for those who are low or medium income earners in their area.
The remaining $75 billion is allocated to prevent mortgage defaults and property foreclosures for families.
The financial aid would be for federally-backed and private home loans.
The HEROES Act also bans evictions for renters for 1 year for non-payment of rent.
Federal and private home loans could also be suspended for 12 months.
Contact Alistair Bambridge, email@example.com, +1 646 956 5566.
Bambridge Accountants has offices in London and New York, specializing in creatives and U.S. expats around the world.
Press release distributed by Pressat on behalf of Bambridge Accountants, on Thursday 14 May, 2020. For more information subscribe and follow https://pressat.co.uk/