All American citizens and permanent residents with an AGI below USD $99,000 qualify for corona stimulus payments, regardless of residence.* Because the foreign earned income exclusion reduces AGI by over $100k, many foreign resident Americans with income above $99,000 will still qualify for the stimulus payment.
Adults will receive $1,200 each, and $500 for each child under 17. Payments will be reduced for those with AGI greater than $75,000.
To find your AGI, please refer to your most recent Form 1040 and see:
2018 Form 1040 line 7, or
2019 Form 1040 line 8b
In roughly three weeks, the Treasury will deposit funds electronically into the US bank account the IRS already has on file from tax returns filed in 2018 or 2019. If you did not provide a US bank acct number when we last filed your returns, this can be corrected by filing a 2019 return now, with US bank numbers. The payment will otherwise be sent by dollar check or disposable debit card to the address on your most recent return.
The Treasury has also promised to create an online portal for people to update the IRS with their current banking information. As of March 31, 2020, it is not online but progress can be monitored here irs.gov/coronavirus
If you don't already have a US account, we recommend transferwise.com as the fastest and easiest way to set up a free account to receive the stimulus payment. Drop us a line and we will send you a promotional link.
Please get in touch as soon as possible if you would like to efile a tax return before the first round of stimulus payments are sent.
Note that the following types of clients are ineligible for efiling:
-those with foreign spouses who have no dependent children or relatives;
-those with self-employment or contract income who need to claim the exemption from US social security tax;
-those who are not current on their annual filings and who would be better served by applying for amnesty under Streamlined Foreign Offshore procedures.
Tax returns will be due July 15, 2020 as a result of the outbreak.
*Eligibility thresholds increase if Head of Household or Married-Filing-Joint