Covid Stimulus Checks | Divorce | Child Support | Split Custody
Recently a two trillion dollar economic stimulus package was passed aimed to help individuals, families and small businesses impacted by shelter in place orders and Covid-19. The Covid pandemic has put a serious strain on the global economy and many people that have been impacted or lost their jobs have questions.
But what if there were recent developments to your family. A change in marital status or child custody can impact how much, or if, you’re eligible for a Covid-19 stimulus check. With stimulus checks set to be sent out as early as May 2020, many people are asking themselves “will I get a stimulus check”. Dependent on your unique circumstances regarding income and family developments the answer might depend.
Below are some frequently asked questions regarding stimulus checks and family law.
I Am a Parent That Splits Custody of a Child. Am I Eligible for a COVID-19 Check?
According to NBC News, parents that split custody for their child or children, may be surprised to find out that if they switch off years claiming children on their tax returns they will not be eligible for the check. The Federal government allows parents to receive an extra $500 payment for each child under the age of 17.
However, If a former spouse claimed a dependent(s) for the 2019 tax season, then the ex-spouse that did not claim that dependent will be ineligible for the $500 check.
If you have questions it is best to consult with the professionals. A family law attorney or tax professional in your area can shed some additional light on the unique circumstances of your case.
I’m Recently Divorced. Am I Eligible for a COVID Check?
If you recently filed for divorce from a former spouse there are some unique circumstances to your situation especially if you filed jointly for 2019. Those that filed jointly in 2019 and have since filed for divorce from their spouse will be receiving one check (assuming they make under the maximum threshold).
However, the couples that did file their taxes together will get a single payment up to the max allotment of $2400 for a couple with no dependents. This stimulus check will be deposited to the bank account that was authorized for deposit.
Since the IRS does not get a notification of the intent to divorce, or that divorce papers have been filed, the entity will not send out separate checks.
I Owe Child Support. Am I Eligible for a Stimulus Check?
According to Forbes the answer is that the stimulus law puts on hold other backed payments i.e student loans and backed taxes. However, the coronavirus stimulus check can be garnished if you owe child support.
If you are overdue on child support payments you may have your individual stimulus check waived or garnished. This can be financially problematic and lead to unnecessary stress on individuals that lost their jobs and are relying on these stimulus checks to help pay for essentials like rent and food.
If you are aware of any outstanding or backed child support and have the available funds then it could benefit your current situation to pay off any support fees ASAP.
See Also – Financial Tips for Men involved in Divorce
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