The American Rescue Plan and the Third Economic Impact Payment

        The 2021 American Rescue Plan (ARP) Act and its $1.9 trillion budget has been discussed since it was passed and enacted last week. One of the most talked about parts has been the third round of Economic Impact Payments (EIP) that it allows for many who received the previous two. The Internal Revenue Service (IRS) immediately went to work on sending out the payments, which for many would amount to $1,400. However, the criteria for who qualifies is now different.

          Individuals making over $75,000 will receive smaller payments, and those who make over $80,000 will have no payment at all. This is based off of their 2019 or 2020 Tax Return. This means that some who were a part of the last two payments may not qualify for this one. Unlike the last two payments, dependents under 17 will be included. Those with Direct Deposit may already have the payment. If you got a debit card before, a new one will be sent. If you are unsure if you qualify for this or the past two payments, check with your Qualified Tax Professional.

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