DIRECT stimulus payments are "what Donald Trump wants," officials say – and they could arrive within one week of a deal being struck.
On Tuesday, Treasury Secretary Steve Mnuchin indicated that the president was pushing for these coronavirus stimulus checks.
"The president wants us to do more," Mnuchin said. "He wants us to provide money for kids and jobs, and a second round of the [Paycheck Protection Program] and direct payments are a clear part of that."
Trump's economic advisor Mnuchin has previously revealed that this cash injection could be sent out within a week of the legislation passing.
Yesterday, it emerged that GOP senators might exclude the $1,200 payment from their "skinny" HEALS package, however.
The rapid timeline contrasts with the first round of stimulus checks, which were sent out a whopping 19 days after the CARES Act was passed in March.
But with the Senate on recess and the House of Representatives coming back to debate a US Postal Service bill, a forthcoming deal about checks is uncertain.
That said, congressional leaders and the White House had previously agreed on up to $1,200 in the next relief package, noted CNET.
Republican and Democratic negotiators could start hashing out the issue and reach a decision in late August – but negotiations could be delayed until September after the new congressional session officially begins.
The House and the Senate are adjourned until after September 7.
It's likely the IRS would use roughly the same calculations and tools for sending them out this time, including the IRS Get My Payment tool which tracks the payment payment and allowing direct deposit.
The next payment could first reach people who've already registered for direct deposit in their 2019 tax filing or before – 80 million received their CARES Act money the first week they were sent out.
Social Security beneficiaries also received the payout because their direct deposit information was on file with federal agencies.
Paper checks got mailed out about a week later, to people who hadn't signed up for direct deposit.
The first pre-paid Economic Impact Payment debit cards were distributed in mid-May to about 4 million people.
Although both the CARES Act and the GOP-backed HEALS Act allocated $500 for dependents, the Democrat's Heroes Act suggests $1,200 for a maximum of three dependents.
But this change could force the IRS to adjust its accounting system, which could slow the process down.
According to the US Treasury, by June, 120 million Americans got the stimulus money via direct deposit; 35 million through a check in the mail, and 4 million through a prepaid debit card.
The Center on Budget and Policy Priorities reported that people who didn't make enough moneyfile federal income tax returns in 2018 or 2019 didn't get a payment unless they submitted a form to IRS.
Low-income families with children and people of color were disproportionately affected by this.
Around 200 million checks will have been sent out by the time the IRSis finished with the first payments, with the majority of these being sent in June.
But the United States is home to over 330 million, according to the Census Bureau.
The IRS will be sending payments through the end of 2020.
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