Covid-19 US Income Tax Extension For Ex-patriots

[up-country_sinclair]

Does anyone know if this recently announced 3-month extension applies to the already existent 2 month extension expats already get?  In other words, do we now have until September 15 to pay what we owe?

 

Also, will we be getting that $1,000 check from Steve Mnuchin if we filed with a foreign address?  I'm guessing no.  ????

Edited March 18, 2020 by up-country_sinclair

[Langsuan Man]

This is different since it delays your required tax payment until Sept 15, your automatic 2 month extension for being overseas does not exempt you from interest, only penalties, for not filing on April 15th.  So this one is more generous

 

As far as how you get it if you are overseas hasn't been addressed yet, since "mailing checks" has a bigger media message to it which the Administration craves

 

If we lived in a sane world overseas taxpayer would get their checks the same way they get tax refunds, but sanity seems in short supply in Washington these days  

[up-country_sinclair]

Mnuchin just officially announced that the deadline to file is now July 15th.  No info yet on whether or not we get an additional 2 months.

Edited March 20, 2020 by up-country_sinclair

[TallGuyJohninBKK]

On 3/19/2020 at 8:29 AM, Langsuan Man said:

As far as how you get it if you are overseas hasn't been addressed yet, since "mailing checks" has a bigger media message to it which the Administration craves

 

It's still just a proposal in the Senate, and the exact details seem fuzzy. The latest reporting posted elsewhere here today indicated that high income individuals would see the payment amounts phased out, and those not filing any federal tax return because of income under the thresholds would get smaller payments.

 

One other related issue is the eligibility discussions all center around the recipient's level of income. But I haven't yet found any clarity of whether those income thresholds would be applied based on total income or, as is often the case for other things, EARNED income, which would leave out a lot of retirees both in the U.S. and abroad.

 

https://www.washingtonpost.com/business/2020/03/19/trump-coronavirus-economic-plan-stimulus/

 

 

Quote

 

The legislation would provide checks of $1,200 per adult for many families, as well as $500 for every child in those families. Families filing jointly would receive up to $2,400 for the adults. The size of the checks would diminish for those earning more than $75,000 and phase out completely for those earning more than $99,000. The poorest families, those with no federal income tax liability, would see smaller benefits, though the minimum would be set at $600.
 

Limiting the payment amount for those without federal tax liability was a change from the original White House proposal, and caught some Republicans off-guard, provoking criticism. Sen. Josh Hawley (R-Mo.) tweeted: “Relief to families in this emergency shouldn’t be regressive. Lower income families shouldn’t be penalized.”
 

An early analysis showed the vast majority of middle class people would receive the cash payment, but the percentage doing so falls dramatically toward the bottom of the income distribution. About 22 million people earning under $40,000 a year would see no benefit under the GOP plan, according to an initial analysis by Ernie Tedeschi, a former Obama administration economist.

 

 

 

Edited March 20, 2020 by TallGuyJohninBKK

[cmarshall]

As far as receiving the distribution from the government, it's probably to our advantage that we expats have not been noticed yet.  Unless the legislation specifically excludes us we should get it.  If they do notice us, I doubt that they will include us.

[Langsuan Man]

1 hour ago, cmarshall said:

I doubt that they will include us.

Not true, last time there was a give away like this expats were included if they made the income cut off and they even included foreign spouses in the largess.  Spouses had to get a TIN to be eligible but the IRS was forced to speed up their issuing 

 

Did not effect me but several friends and their wives benefited from the program, sorry I can't remember what administration this was from 

Edited March 21, 2020 by Langsuan Man

[sqwakvfr]

Since the money($1200 and $2400) will distributed quickly, in a matter of weeks the US Treasury will probably use the following criteria:

 

1.  2018 income Tax Returns(this will establish the Income Criteria and so far it has been discussed as $75,000 for single and $150,000 for Couples-subject to change)

2.  If one got a Direct Deposit Refund then the same information(Routing and Account#’s) will be used to put the money into the account.

 

3.  If one did not get a refund then a paper check would have to be mailed to an address listed on the return.  

 

I doubt the US Treasury will direct deposit to a Foreigner Bank Account or mail a physical check to an address in Thailand or any foreign address.  But I could be wrong?  

[up-country_sinclair]

10 hours ago, sqwakvfr said:

I doubt the US Treasury will direct deposit to a Foreigner Bank Account or mail a physical check to an address in Thailand or any foreign address.

I agree, unfortunately.

[cmarshall]

On 3/20/2020 at 9:04 PM, Langsuan Man said:

Not true, last time there was a give away like this expats were included if they made the income cut off and they even included foreign spouses in the largess.  Spouses had to get a TIN to be eligible but the IRS was forced to speed up their issuing 

 

Did not effect me but several friends and their wives benefited from the program, sorry I can't remember what administration this was from 

Surprised to hear that.  Must have been the Bush administration's stimulus program in 2009.

 

When Did Stimulus Checks Go Out?

In May 2009, the federal government sent a one-time Economic Recovery Payment (ERP) of $250 each. These checks went to more than 52 million beneficiaries of certain federal programs. These included Social Security, Supplemental Security Income (SSI), Railroad Retirement Board (RRB) and the Department of Veterans Affairs (VA).3

 

Did Everyone Receive Stimulus Checks?

ARRA was unusual in that only those beneficiaries received checks. Most taxpayers received tax rebates called the Making Work Pay program. Instead of a check, the rebates showed up as a reduction in their tax withholding amount. The Obama administration argued that they would receive benefits quicker than waiting for a rebate after they filed their taxes in 2010.

 

https://www.thebalance.com/stimulus-checks-3305750

[Langsuan Man]

23 hours ago, cmarshall said:

Must have been the Bush administration's stimulus program in 2009.

Sounds about right, since it was a long time ago.  I only remembered about it because of the ability to expedite issuing Personal Identification Numbers to foreign dependents