Free Trial

FACT FOCUS: No, taxpayers will not receive new stimulus checks this summer

President Donald Trump's name is printed on a stimulus check issued by the IRS to help combat the adverse economic effects of the COVID-19 outbreak, April 23, 2020, in San Antonio. (AP Photo/Eric Gay, File)

Key Points

  • Rumors about new stimulus checks for taxpayers this summer are false; the IRS has confirmed there are no new payments planned.
  • Current legislation allowing for stimulus checks has not been passed by Congress, and any future payments depend on approved bills.
  • Senator Josh Hawley introduced the American Worker Rebate Act, proposing rebates for qualified taxpayers, but it remains unpassed as of now.
  • The IRS has distributed funds to eligible individuals who missed claiming the Recovery Rebate Credit, with no new credits available for taxpayers currently.
  • Ever wonder how the pros spot opportunities sooner? Get 5 Weeks of MarketBeat All Access for $5 — This Month Only. Start My 5-Week Trial.

Don't splurge just yet.

Rumors spread online Friday that the U.S. government will soon be issuing stimulus checks to taxpayers in certain income brackets.

But Congress has not passed legislation to authorize such payments, and, according to the IRS, no new stimulus checks will be distributed in the coming weeks.

Here's a closer look at the facts.

CLAIM: The Internal Revenue Service and the Treasury Department have approved $1,390 stimulus checks that will be distributed to low- and middle-income taxpayers by the end of the summer.

THE FACTS: This is false. Taxpayers will not receive new stimulus checks of any amount this summer, an IRS official said. Stimulus checks, also known as economic impact payments, are authorized by Congress through legislation and distributed by the Treasury Department. Republican Sen. Josh Hawley of Missouri last month introduced a bill that would send tax rebates to qualified taxpayers using revenue from tariffs instituted by President Donald Trump. Hawley's bill has not passed the Senate or the House.

The IRS announced early this year that it would distribute about $2.4 billion to taxpayers who failed to claim on their 2021 tax returns a Recovery Rebate Credit — a refundable credit for individuals who did not receive one or more COVID-19 stimulus checks. The maximum amount was $1,400 per individual.

Those who hadn't already filed their 2021 tax return would have needed to file it by April 15 to claim the credit. The IRS official said there is no new credit that taxpayers can claim.

Past stimulus checks have been authorized through legislation passed by Congress. For example, payments during the coronavirus pandemic were made by possible by three bills: the Coronavirus Aid, Relief and Economic Security Act; the COVID-related Tax Relief Act; and the American Rescue Plan Act.

In 2008, stimulus checks were authorized in response to the Great Recession through the Economic Stimulus Act.

The Treasury Department, which includes the Internal Revenue Service, distributed stimulus payments during the COVID-19 pandemic and the Great Recession. The Treasury's Bureau of the Fiscal Service, formed in 2012, played a role as well during the former crisis.

Hawley in July introduced the American Worker Rebate Act, which would share tariff revenue with qualified Americans through tax rebates. The proposed rebates would amount to at minimum $600 per individual, with additional payments for qualifying children. Rebates could increase if tariff revenue is higher than expected. Taxpayers with an adjusted annual gross income above a certain amount — $75,000 for those filing individually — would receive a reduced rebate.

Hawley said Americans “deserve a tax rebate.”

“Like President Trump proposed, my legislation would allow hard-working Americans to benefit from the wealth that Trump’s tariffs are returning to this country,” Hawley said in a press release.

Neither the Senate nor the House had passed the American Worker Rebate Act as of Friday. It was read twice by the Senate on July 28, the day it was introduced, and referred to the Committee on Finance.

___

Find AP Fact Checks here: https://apnews.com/APFactCheck.

Where Should You Invest $1,000 Right Now?

Before you make your next trade, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis.

Our team has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and none of the big name stocks were on the list.

They believe these five stocks are the five best companies for investors to buy now...

See The Five Stocks Here

7 Stocks to Ride The A.I. Megaboom Cover


We are about to experience the greatest A.I. boom in stock market history...

Thanks to a pivotal economic catalyst, specific tech stocks will skyrocket just like they did during the "dot com" boom in the 1990s.

That’s why, we’ve hand-selected 7 tiny tech disruptor stocks positioned to surge.

  1. The first pick is a tiny under-the-radar A.I. stock that's trading for just $3.00. This company already has 98 registered patents for cutting-edge voice and sound recognition technology... And has lined up major partnerships with some of the biggest names in the auto, tech, and music industry... plus many more.
  2. The second pick presents an affordable avenue to bolster EVs and AI development…. Analysts are calling this stock a “buy” right now and predict a high price target of $19.20, substantially more than its current $6 trading price.
  3. Our final and favorite pick is generating a brand-new kind of AI. It's believed this tech will be bigger than the current well-known leader in this industry… Analysts predict this innovative tech is gearing up to create a tidal wave of new wealth, fueling a $15.7 TRILLION market boom.

Right now, we’re staring down the barrel of a true once-in-a-lifetime moment. As an investment opportunity, this kind of breakthrough doesn't come along every day.

And the window to get in on the ground-floor — maximizing profit potential from this expected market surge — is closing quickly...

Simply enter your email below to get the names and tickers of the 7 small stocks with potential to make investors very, very happy.

Get This Free Report
Like this article? Share it with a colleague.

Featured Articles and Offers

Recent Videos

Tech Stocks Stumble: Will Nvidia’s Report Spark a Rebound?
Follow the Money: 5 Stocks Institutions Are Buying NOW
Strong Earnings? Market Says NVIDIA-Level Growth or Be Forgotten

Stock Lists

All Stock Lists

Investing Tools

Calendars and Tools

Search Headlines