Home News The IRS Sent Out Coronavirus Relief Payments To Dead Individuals

The IRS Sent Out Coronavirus Relief Payments To Dead Individuals

A letter bearing the signature of President Trump was sent to people who received a coronavirus relief payment as part of the Cares Act. A few of those payments went to the savings account of dead individuals.

Chip Somodevilla/Getty Images.


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Chip Somodevilla/Getty Images.

A letter bearing the signature of President Trump was sent out to people who got a coronavirus relief payment as part of the Cares Act. A few of those payments went to the savings account of dead people.

Chip Somodevilla/Getty Images.

And amongst the receivers of those $1,200 payments are the bank accounts of dead people– a problem that might affect millions of American families.

It was a Coronavirus relief payment from the Internal Revenue Service.

” I feel bad that this cash is sitting in my dad’s account,” states L’Hommedieu, who lives in Houston.

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” And, you know, that bothers me. Quite a bit. I want I understood what to do with it, but, you understand, I don’t,” he added.

L’Hommedieu reached out to his 2 United States Senators in Texas. One sent a kind letter that didn’t address his concerns. The other told him to contact the Internal Revenue Service. Treasury Secretary Steven Mnuchin informed The Wall Street Journal one week ago that beneficiaries need to return the cash sent to deceased individuals. However individuals who spoke with NPR said they had more concerns than answers.

” There’s mass confusion,” said Janet Holtzblatt, a senior fellow at the Urban-Brookings Tax Policy. “There’s been no main guidance regarding how, in this circumstances, individuals ought to return the cash that was gotten for their loved ones.”

The Internal Revenue Service did not address concerns about the payments, but the scope of the problem has the possible to be vast. The CDC estimates that 2.8 million Americans passed away in 2018, for example. And there are signs that individuals who passed away more than 2 years back have received payments.

Karen McClure, of Fort Collins, Colo., says her mom passed away in January of2018 In April of this year her late mother’s bank account got a payment of $1,200

McClure said she reached out to her local congressman but hasn’t heard back.

” The federal government is being extremely reactive rather of proactive to this circumstance– which I discover aggravating,” she states.

Mark Everson, who worked as IRS Commissioner from 2003 to 2007, says that the IRS has actually generally been doing a good job, “however there’s a genuine compromise of speed versus accuracy in the processing,” he states. “There’s a great deal of pressure to move quickly, and in the past Treasury and the IRS have been slammed due to the fact that they haven’t moved rapidly enough.”

Everson states that individuals in this circumstance should depend on main guidance from IRS.gov.

Teresa Wilmot, a 71 year old in Rockford, Ill., has been trying to do just that. She lost her partner of 39 years, Frank Dika, simply two months earlier. Last month, she saw a payment in his account.

” I’m coping with [the] Frank things pretty well at this moment. I’m not over it. I most likely will never ever be over it,” she states. “But that part didn’t bother me. I’m probably angrier at the federal government for sending out a payment to someone who’s deceased.”

Wilmot has been attempting without success to discover guidance online from the Internal Revenue Service to send the cash back.

” I went on the internet to the address on the letter and tried to find a very long time trying to find some manner in which I might first send out the payment back. And I could not discover that,” she states. “So I try to find a way to get in touch with someone at the IRS or the Treasury or whatever to return the payment. And I could not find that.”

After several demands, the Internal Revenue Service declined to address concerns and directed them to the Treasury Department.

The Treasury Department has actually not responded to questions about what the IRS is doing to address the concern and what families should do if a deceased loved one has actually received a payment.

Huo Jingnan contributed to this report.

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