In April, the US Treasury Department and IRS began distributing economic impact payments (stimulus payments) to families across the country due to COVID-19. Married couples should expect $2,400 if their adjusted gross income (AGI) is $150,000 or less. Individuals can expect $1,200 if their AGI is $75,000 or less.
But what happens to your stimulus payments when you’re going through a divorce? Will you still be able to receive some financial assistance?
Were You Married During the 2018 Tax Filing?
If you haven’t yet filed your 2019 taxes (due to the extension), your stimulus payment will be based on your 2018 taxes. If you were married and filed jointly on your 2018 taxes, your stimulus payment will include $1,200 for both you and your spouse, regardless of your current divorce proceedings. You’ll also receive $500 for each child you and your spouse claim as a dependent.
The stimulus payment will be sent to your bank account used for your 2018 taxes if you chose direct deposit. If not, you’ll receive a check in the mail at the address used in your filing, even if it’s the previous marriage home.
Becoming Separated After the 2018 Tax Filing
If you became separated after the 2018 tax filing, you must file your 2019 taxes as quickly as possible. It’s important to notify the IRS of your updated status, so you may receive your payment. If you’ve already filed your 2019 taxes and are now separated, you’ll need to work with your ex-spouse to divide the stimulus payment between you.
What If I’m Unable to Work With My Ex-Spouse to Receive My Payment?
If you and your spouse are unable to work together to divide the payment, you have the option to seek a court order to divide the funds. We recommend reaching out to an experienced divorce attorney who can help you decide the best step to take next.
Questions About Your Stimulus Payment? Reach Out to Us.
We understand that times are tough right now. The stimulus payment is meant to bring you some relief. If you’re concerned about your ability to obtain the amount entitled to you, let us help. To learn more about how we can help, give our Arlington office a call at 817-799-7125 or send us a message.