Senate Democrats criticized the IRS on Wednesday for requiring people to file a tax return in order to receive the tax rebates authorized by the coronavirus relief bill, a requirement that would burden those who don’t normally file returns and likely mean that many would not receive the checks.
“We strongly urge you to ensure that economic stimulus payments are automatically sent to vulnerable seniors and individuals who experience disabilities, without these individuals needing to file a tax return,” the Democrats wrote in a letter to Treasury Secretary Steven Mnuchin and Social Security Commissioner Andrew Saul.
The Democrats say that Social Security benefit statements, rather than tax returns, could be used to determine which non-tax filers should receive a recovery check.
Congress structured the payment so that individuals, not just taxpayers, would be eligible for the recovery checks, but lawmakers also gave the IRS some leeway in how it would seek to confirm who was eligible for the payment.
“The legislation was written to give the IRS flexibility to deliver recovery checks as soon as possible. It is up to the IRS to implement the law as quickly and effectively as it can,” said Michael Zona, a spokesman for Republican Senate Finance Committee Chairman Chuck Grassley of Iowa.
The IRS released guidance on March 30 informing the public that filing a tax return is required to receive the payment if they haven’t already filed their returns for the 2018 and 2019 tax years.
“People who typically do not file a tax return will need to file a simple tax return to receive an economic impact payment. Low-income taxpayers, senior citizens, Social Security recipients, some veterans and individuals with disabilities who are otherwise not required to file a tax return will not owe tax,” the guidance states.
