Monthly Economic Crisis Support Act
This bill provides for a monthly rebate to individuals and their dependents for the period beginning March 2020, and ending on the third month after the date on which the Department of Health and Human Services determines that the COVID-19 (i.e., coronavirus disease 2019) public health emergency has ended. The rebate is $2,000 per individual ($4,000 for individuals filing a joint tax return) plus $2,000 for each dependent of such individual, not exceeding three dependents. The rebate is reduced for individuals whose adjusted gross income exceeds specified levels. Rebates are not subject to garnishment or set offs by financial institutions.
[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 3784 Introduced in Senate (IS)]
<DOC>
116th CONGRESS
2d Session
S. 3784
To amend the Internal Revenue Code of 1986 to provide monthly rebates
to every individual residing in the United States during the COVID-19
pandemic.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 20, 2020
Ms. Harris (for herself, Mr. Sanders, Mr. Markey, and Mrs. Gillibrand)
introduced the following bill; which was read twice and referred to the
Committee on Finance
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to provide monthly rebates
to every individual residing in the United States during the COVID-19
pandemic.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Monthly Economic Crisis Support
Act''.
SEC. 2. MONTHLY REBATES TO INDIVIDUALS DURING CORONAVIRUS PANDEMIC.
(a) In General.--Subchapter B of chapter 65 of the Internal Revenue
Code of 1986 is amended by inserting after section 6428 the following
new section:
``SEC. 6428A. MONTHLY REBATES TO INDIVIDUALS DURING CORONAVIRUS
PANDEMIC.
``(a) In General.--
``(1) Determination of rebate amount.--
``(A) In general.--On each applicable date, an
eligible individual shall be treated as having made a
payment against the tax imposed by chapter 1 for the
applicable taxable year in an amount equal to the sum
of--
``(i) $2,000 ($4,000 in the case of
eligible individuals filing a joint return),
plus
``(ii) an amount equal to the product of
$2,000 multiplied by the number of dependents
(as defined in section 152) of the taxpayer.
``(B) Limitation with respect to dependents.--The
number of dependents of the taxpayer which may be taken
into account for purposes of subparagraph (A)(ii) shall
not exceed 3.
``(2) Limitation based on adjusted gross income.--The
amount determined under paragraph (1)(A) (determined without
regard to this paragraph) shall be reduced (but not below zero)
by 10 percent of so much of the taxpayer's adjusted gross
income as exceeds--
``(A) $200,000 in the case of a joint return,
``(B) $150,000 in the case of a head of household,
and
``(C) $100,000 in the case of a taxpayer not
described in subparagraph (A) or (B).
``(b) Applicable Date.--For purposes of this section, the term
`applicable date' means the first day of any month during the period--
``(1) beginning March 2020, and
``(2) ending on the third month beginning after the date on
which the Secretary of Health and Human Services determines
that the public health emergency declared by such Secretary
under section 319 of the Public Health Service Act (42 U.S.C.
247d) on January 31, 2020, with respect to COVID-19, has ended.
``(c) Other Definitions.--For purposes of this section--
``(1) Eligible individual.--The term `eligible individual'
means any individual other than--
``(A) any nonresident alien individual,
``(B) any individual with respect to whom a
deduction under section 151 is allowable to another
taxpayer for an applicable taxable year beginning in
the calendar year in which the individual's taxable
year begins, and
``(C) an estate or trust.
``(2) Applicable taxable year.--The term `applicable
taxable year' means the taxable year ending in the calendar
year preceding the date on which the payment under subsection
(a) is treated as made.
``(d) Other Rules.--
``(1) Timing and manner of payments.--
``(A) Timing.--The Secretary shall, subject to the
provisions of this title, refund or credit any
overpayment attributable to this section as rapidly as
possible.
``(B) Alternate information.--
``(i) In general.--For purposes of
disbursing refunds payable under this
subsection to any eligible individual, if such
individual has not, as of any applicable date,
filed a tax return for the applicable taxable
year, the Secretary shall--
``(I) use return information with
respect to such individual for the
taxable year preceding such applicable
taxable year, or
``(II) in the case of an individual
who has not filed a tax return for the
applicable year or the taxable year
described in subclause (I), use any
applicable information provided by any
relevant Federal and State agencies.
``(ii) Coordination and notification.--
``(I) In general.--For purposes of
clause (i)(II), the Secretary shall--
``(aa) coordinate with the
heads of relevant Federal and
State agencies to receive
applicable information with
respect to any individuals who
may be eligible to receive a
refund payment pursuant to this
section, and
``(bb) establish, in such
form and manner as is deemed
appropriate by the Secretary,
an alternative method of
reporting information necessary
to determine the amount of any
refund payments for which such
individuals may be eligible,
including methods specifically
designed to identify and
account for foster youth and
individuals experiencing
homelessness.
``(C) Delivery of payments.--Notwithstanding any
other provision of law, the Secretary may certify and
disburse refunds payable under this subsection--
``(i) electronically to any account to
which the payee authorized, on or after January
1, 2018, the delivery of a refund of taxes
under this title or of a Federal payment (as
defined in section 3332 of title 31, United
States Code), or
``(ii) through such other means as are
determined appropriate by the Secretary,
including through the use of stored value cards
and online payment systems.
``(D) Waiver of certain rules.--Notwithstanding
section 3325 of title 31, United States Code, or any
other provision of law, with respect to any payment of
a refund under this subsection, a disbursing official
in the executive branch of the United States Government
may modify payment information received from an officer
or employee described in section 3325(a)(1)(B) of such
title for the purpose of facilitating the accurate and
efficient delivery of such payment. Except in cases of
fraud or reckless neglect, no liability under sections
3325, 3527, 3528, or 3529 of title 31, United States
Code, shall be imposed with respect to payments made
under this subparagraph.
``(2) Reduction of initial payment.--With respect to the
initial payment of a refund to a taxpayer which is made under
this subsection, such payment shall be reduced (but not below
zero) by the amount of any refund or credit made or allowed to
such taxpayer pursuant to subsection (f) of section 6428.
``(3) No interest.--No interest shall be allowed on any
overpayment attributable to a payment deemed made under this
section.
``(4) Notice to taxpayer.--Not later than 15 days after the
date on which the Secretary distributed any payment to a
taxpayer pursuant to this section, notice shall be sent by mail
to such taxpayer's last known address. Such notice shall
indicate the method by which such payment was made, the amount
of such payment, and a phone number for the appropriate point
of contact at the Internal Revenue Service to report any
failure to receive such payment.
``(e) Regulations.--The Secretary shall prescribe such regulations
or other guidance as may be necessary to carry out the purposes of this
section, including any such measures as are deemed appropriate to avoid
allowing multiple payments to a taxpayer.''.
(b) Additional Rules.--
(1) Treatment of possessions.--Rules similar to the rules
of subsection (c) of section 2201 of the CARES Act (Public Law
116-136) shall apply for purposes of section 6428A of such Code
(as added by subsection (a)).
(2) Exception from reduction or offset.--Any credit or
refund allowed or made to any individual by reason of section
6428A of the Internal Revenue Code of 1986 (as added by
subsection (a)) or by reason of paragraph (1) of this
subsection shall not be--
(A) subject to reduction or offset pursuant to
section 3716 or 3720A of title 31, United States Code;
(B) subject to reduction or offset pursuant to
subsection (c), (d), (e), or (f) of section 6402 of the
Internal Revenue Code of 1986; or
(C) reduced or offset by other assessed Federal
taxes that would otherwise be subject to levy or
collection.
(3) Public awareness campaign.--Rules similar to the rules
of subsection (e) of section 2201 of the CARES Act shall apply
for purposes of section 6428A of such Code (as added by
subsection (a)).
(4) Prohibition on garnishment.--
(A) Definitions.--In this paragraph, the terms
``financial institution'', ``freeze'', ``garnish'', and
``garnishment order'' have the meanings given the terms
in section 212.3 of title 31, Code of Federal
Regulations, as in effect on the date of enactment of
this Act.
(B) Prohibition.--No financial institution may
garnish or freeze any portion of a refund made to any
debtor by reason of section 6428A of the Internal
Revenue Code of 1986 (as added by subsection (a)) or by
reason of paragraph (1) pursuant to a garnishment
order.
(c) Appropriations To Carry Out Rebates.--Immediately upon the
enactment of this Act, out of any money in the Treasury not otherwise
appropriated, there shall be appropriated $250,000,000 to the
Department of the Treasury to carry out the purposes of this section
and section 6428A of the Internal Revenue Code of 1986, to remain
available until expended.
(d) Waiver of Fees by Insured Depository Institutions.--No insured
depository institution, as defined in section 3 of the Federal Deposit
Insurance Act (12 U.S.C. 1813), may impose a fee on a person for
cashing any check for a refund payable under section 6428A of the
Internal Revenue Code of 1986 (as added by subsection (a)) or
subsection (b)(1).
(e) Conforming Amendments.--
(1) Section 6211(b)(4)(A) of the Internal Revenue Code of
1986 is amended by striking ``and 6428'' and inserting ``6428,
and 6428A''.
(2) Paragraph (2) of section 1324(b) of title 31, United
States Code, is amended by inserting ``6428A,'' after
``6428,''.
(3) The table of sections for subchapter B of chapter 65 of
subtitle F of the Internal Revenue Code of 1986 is amended by
inserting after the item relating to section 6428 the
following:
``Sec. 6428A. Monthly rebates to individuals during coronavirus
pandemic.''.
<all>
Introduced in Senate
Read twice and referred to the Committee on Finance.
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