WHAT YOU NEED TO KNOW:
- The Treasury Department said on Thursday that the first stimulus package is to be sent within two weeks.
- Secretary Steven Mnuchin also confirmed that payments would be via direct deposits to the account’s recipients.
- The IRS is also to launch an online site where Americans can update their deposit information.
On Thursday, Secretary Steven Mnuchin of the Treasury Department announced the first batch of coronavirus crisis assistance funds would be received “in a matter of two weeks.”
During a White House press briefing, Mnuchin recalled that his initial estimates were that the release of the package might require a longer time, but now, payments would be forwarded directly into the bank accounts of American taxpayers.
President Donald Trump signed the COVID-19 relief aid last week, and under the package, most Americans are to receive funds of up to $1,200 for every adult, and another $500 for each child.
See how much you can get using the CARES Act Rebate Calculator below:
Mnuchin made the remarks following the House Ways and Means Committee’s preparation of a document that states IRS will be sending payments through deposits around the second week of April.
The committee is led by mostly Democratic lawmakers.
However, the document also stated that the IRS would probably start sending out paper checks by early May, and that alone could take around 20 weeks to accomplish.
When Mnuchin was asked about the alleged schedule, he reassured the public that they could commit to releasing the money within two weeks, considering that the secretary oversees the IRS.
He also noted that during Obama’s administration, sending out of checks would take many months.
Washington D.C-based and right-leaning organization, Tax Foundation, earlier said the single package contained in former President Obama’s stimulus measures in February 2009 got only released by May 2009.
Obama’s law only covered a lesser number of people as compared to those who are entitled to rebates under Trump’s package.
Mnuchin also said the IRS is to utilize an online site so people can update or provide their direct deposit info for faster payment processing, which could transpire in two days.
The secretary also said the Treasury Department is also in coordination with prepaid debit card companies to make sure quicker payment process, noting the money will mean nothing if it’ll take months to be distributed.
On Thursday, an official from the department estimates said around 50 million to 70 million Americans are eligible to the payments via deposit on April 15, while other people will get their funds in three weeks’ time.
Mnuchin said they would focus first on lowest-income families as they are to receive the first batch of checks.
Meanwhile, the Washington Post reported on Thursday, using an internal IRS document as a reference, that the agency is to start distribution of payments electronically by next week. Physical checks, on the other hand, will be given by April 24, while some have to wait until September.
Source: The Hill