The Internal Revenue Service (IRS) has confirmed that recipients of VA benefits will automatically receive Economic Impact Payments (that’s the official name, although most taxpayers refer to them as stimulus checks). That means that veterans and their beneficiaries who receive Compensation and Pension (C&P) benefit payments from VA will receive a $1,200 Economic Impact Payment with no further action needed on their part. The move required coordination among the Department of Veterans Affairs (VA), Department of the Treasury, IRS, and the Bureau of Fiscal Services (BFI).
Previously, the IRS confirmed that those receiving Social Security retirement or disability benefits (SSDI), Supplemental Security Income (SSI), and Railroad Retirement benefits can receive automatic payments of $1,200
“Since many VA recipients typically aren’t required to file tax returns, the IRS had to work with these other government agencies to determine a way to quickly and accurately deliver Economic Impact Payments to this group,” said IRS Commissioner Chuck Rettig.
“Additional programming work remains, but this step simplifies the process for VA recipients to quickly and easily receive these $1,200 payments automatically. We deeply appreciate the sacrifices and service to our country by each and every veteran and their families, as well as the assistance of VA and the Bureau of Fiscal Services in this effort.”Today In: Taxes
Here are a few more details:
What do vets and their beneficiaries have to do? Veterans and their beneficiaries will receive checks without needing to take further action.
When can vets and their beneficiaries recipients expect a check? Timing on the payments is still being determined.
Who is sending the checks to SSI recipients? IRS, not the VA.
How will I receive my payment? You should receive payments by direct deposit or by paper check, just as you usually receive your VA benefits.
What about vets and others receive government benefits and who have qualifying children? For those who receive certain benefits – including VA, Social Security retirement or disability benefits (SSDI), Railroad Retirement benefits, or SSI – and have a qualifying child, they can quickly register on IRS.gov. If you can use this tool as soon as possible, you may be able to get earlier delivery of the child payments by having these added to your automatic payments. If you don’t provide your information soon, you will have to wait until later to receive their $500 per qualifying child. (For taxpayers who filed tax returns in 2018 or 2019, the child payments will be automatic.)
How can I find out more about my payment? For veterans with internet access, you can use the Get My Payment Tool to track the status of your check.
Is this payment taxable? It is NOT taxable and will not affect your 2020 refund.
I’m still worried: will it affect my benefits? No, it will not affect your benefits.
Things are happening at a rapid-fire pace these days. As tax updates become available, we’ll keep you updated. Keep checking back for details.
