The first and last to receive exemption refunds of $ 10,200 in unemployment taxes

More of 100 millions of Americans would receive payments IRS additional fees as a result of the $ 10, 200 to unemployment compensation funds under the Biden Administration’s “American Bailout Plan”

Photo: Karolina Grabowska / Pexels

The first to receive refunds from the Internal Revenue Service (IRS) for payments of low unemployment taxes exemption of $ 10, 200 of the Biden Administration are the taxpayers who file individually while the last will be the Americans who file jointly and claim dependents and tax credits.

The IRS reported that the distribution process will be carried out in two phases , with the simplest forms first, followed by the most complex ones.

“ These corrections are made automatically in two phases , thus alleviating the burden of taxpayers. The first phase started and includes the simplest statements. The second phase will include the most complex tax returns to review and adjust, and which the IRS anticipates will take place until the end of the summer to review and correct, ”explains press entry on IRS.gov.

Thousands of Americans with simpler tax returns have already started receiving money back from the IRS.

The agency continue sending refunds until late summer .

Last 14 May, the office announced that the release of payments for the exemption contained in the “American rescue plan” approved in the United States Congress.

Tax exemption applies to those who earned less than $ 150, 000 in gross income adjusted

The exemption of $ 10, 300 unemployment compensation of 2020 of income applies to who earned less than $ 150, 000 on Adjusted gross income .

“You are eligible to exclude unemployment compensation if you received it in 2020 and your modified adjusted gross income (AGI) is less than $ 150, 000. The AGI modified for the purpose of qualifying for this exclusion is your adjusted gross income for 2020 minus the total unemployment compensation you received. This limit remains the same for all tax states, regardless of whether you are married and filing a joint tax return (not doubled to $ 300, 000) ”added the IRS.

Marriages may exclude up to $ 20, 400

In the case of jointly declaring marriages , may exclude up to $ 20, 400 or up to $ 10 ,200 for each spouse who received unemployment compensation.

Individuals who provided information for direct deposit to the IRS must receive the refund to their bank account, while the rest will receive payment either by paper check or debit card by post.

In a period of 30 days after receiving the refund, the IRS will send you a letter to detail the adjustment made to credit the tax exemption.

“Taxpayers should keep this notice for their records. Taxpayers who receive refunds should review their return after receiving their notice from the IRS, ”the agency said.