Kamala Harris's Tax Policy Proposals

We've come to know a lot about where Kamala Harris stands on the important issues of the day since she kicked off her run for the presidency back in January 2019. She told us that she wants an easier path to legal status for "Dreamers." She promoted a phased-in "Medicare-for-All" plan. She pressed for an increase in the minimum wage. And, in a debate exchange highlighting her views on race relations, she even called out Joe Biden for opposing busing in the 1970s and for working with other U.S. Senators who supported segregation.

But what about tax policy? Actually, we know a fair amount about what Sen. Harris would like to do when it comes to the U.S. tax code. During her campaign for the Democratic nomination, we learned that Harris is no fan of the Tax Cuts and Jobs Act (TCJA). "Get rid of the whole thing," she once said. However, she also pushed a few other tax proposals that go beyond just repealing President Trump's signature tax act, and they aren't quite as left leaning as the plans put forth by some of the other candidates in that race. Instead of soaking the rich, her tax proposals tend to focus more on tax breaks for middle- and lower-income Americans.

SEE MORE Election 2020: Joe Biden's Tax Plans

Since she could be a heartbeat away from the presidency next year, we all ought to know more about Harris's ideas – including the ones concerning taxes. So, to help you get a better sense of where she stands on this issue, we pulled together a list of the most significant tax proposals put forth by Sen. Harris over the past year and a half. If the Biden-Harris ticket wins in November, she'll at the very least be able to whisper her tax proposals in the new president's ear.

Read more: https://www.kiplinger.com/taxes/601220/kamala-harris-tax-policy-proposals

Stimulus Check Relief for Spouses of Deceased People is Coming

Right after the CARES Act was enacted, the IRS immediately began a mad scramble to get stimulus checks out to anxious Americans as quickly as possible. But, as you know, haste makes waste. By rushing to set up a system to process the $1,200 payments, some mistakes were made. One of those errors resulted in over 1 million stimulus checks being sent to dead people.

At first, the IRS didn't seem to be all that concerned over this oddity. However, after a while, the tax agency determine that deceased people shouldn't receive a stimulus check payment and asked the surviving spouse to return the payment. If a joint check was received, the living spouse only had to return that portion of the payment allocated to the deceased spouse.

SEE MORE What to Do If You Get a Stimulus Check for a Deceased Person

Then the IRS went a step further. It started cancelling uncashed checks sent to deceased people. Unfortunately, that meant some joint stimulus checks sent to both the living spouse and the deceased one were cancelled, too.

New Checks Will Be Issued

The IRS says its fixing this problem. The tax agency announced that its will reissue payments to surviving spouses of deceased people who were unable to deposit the initial stimulus checks paid to both the deceased and surviving spouse.

SEE MORE Social Security Recipients Get More Time to Request Extra $500 Stimulus Check

For checks that were cancelled or returned, the surviving spouse will automatically receive their share of the payment. The IRS has not said when the reissued payments will arrive, though.

What About Second-Round Stimulus Checks?

While negotiations have broken down, there's still a chance that we'll get a second round of stimulus checks this year. Right now, there are two main stimulus check plans currently under consideration – the HEROES Act proposal (backed by Democrats) and the HEALS Act plan (backed by Republicans). The HEROES Act is silent when it comes to payments to dead people. However, the HEALS Act specifically exclude people who died before January 1, 2020, from the list of eligible recipients.

SEE MORE How a Second Stimulus Check Could Differ from Your First One

The HEALS Act would also retroactively declare people who died before 2

Read more: https://www.kiplinger.com/taxes/601226/stimulus-check-relief-for-spouses-of-deceased-people-is-coming

8 Things You Must Know About Retiring to the Carolinas

I fled New York in 2013 and landed in Virginia to continue my career. Now, with thoughts of retiring within the next few years, I’m considering the Carolinas as a possible taxes-light retirement destination.

Indeed, North Carolina and South Carolina rank high on the list of potential new retirement homes for boomers like me. Both states are in the top five for net migration of people 60 and older, according to the Census Bureau. In 2018, North Carolina was No. 3, behind Florida (No. 1) and Arizona (No. 2). South Carolina was No. 5, behind Texas (No. 4).

For this feature, we interviewed retirees who have recently relocated to the Carolinas, as well as real-estate and insurance agents who welcome new retirees to the region every year. Andrew and Lynn Lazar, for instance, sold their longtime home in Hillsborough, N.J., and landed in Latitude Margaritaville Hilton Head, in Hardeeville, S.C., this year. It’s an active adult community catering to Parrotheads, the devoted fans of singer-songwriter Jimmy Buffett (new homeowners are gifted a “Margaritaville” margarita blender).

“As Parrotheads, Margaritaville was a no-brainer,” Andrew Lazar tells us. “When our granddaughter was born last July, we pulled the trigger and moved forward with our plans to retire and move to our permanent vacation! The houses have that beachy feel. The amenities are beautiful. The pool is a tropical paradise. My daughter said that it’s like living in a resort.”

There were adjustments. They missed their New Jersey family and friends -- and good pizza. They don’t miss the crushing property taxes New Jersey is known for (more on that in a moment).

Are either of these states high on your list of possible retirement locales? Here are eight things you need to know about retiring in North Carolina or South Carolina.

SEE MORE 10 Things You Must Know About Retiring to Florida

Read more: https://www.kiplinger.com/retirement/601218/8-things-you-must-know-about-retiring-to-the-carolinas

Veterans with Children Get Second Chance for Extra $500 Stimulus Check

Here's some good news for veterans receiving VA compensation and pension benefits: The IRS is giving them a second chance to claim the additional $500-per-child stimulus check payment authorized by the CARES Act.

Eligible veterans receiving VA benefits who didn't file a 2018 or 2019 tax return should have automatically received a $1,200 stimulus payment earlier this year. However, if they have (or care for) dependent children 16 years old or younger, they had to go online and use the IRS's "Non-Filers: Enter Your Payment Info Here" tool to get the extra $500 per child that's allowed under the CARES Act.

SEE MORE The 10 Least Tax-Friendly States for Military Retirees

But there was a condition attached – they had to use the tool by May 5, 2020, to have the additional amount included in their stimulus check payment. Unfortunately, many veterans with dependent children missed the deadline and didn't get the extra $500.

September 30 is the New Deadline

The IRS is reopening registration for the extra $500-per-dependent-child payment for veterans who didn't file a 2018 or 2019 tax return. They will now have from August 15 to September 30, 2020, to use the Non-Filers tool to provide the necessary information about their children. Anyone who misses the new September 30 deadline will need to wait until next year and claim the $500 as a credit on their 2020 federal tax return. (The new deadline applies to certain Social Security recipients, too.)

The IRS says the extra $500 payments will be issued by mid-October. For veterans who received their original $1,200 payment by direct deposit, the additional payment for dependent children will also be directly deposited into the same account. Otherwise, a paper check will be sent.

You can check the status of your payments using the IRS's online Get My Payment tool. A notice verifying the $500-per-child additional payment will also be sent to you. You should keep that notice with your other tax records.

SEE MORE How a Second Stimulus Check Could Differ from Your First One

Anyone who filed or plans to file either a 2018 or 2019 tax return should file the tax return and not use the tool. Also, if you already used the Non-Filers tool to provide information on y

Read more: https://www.kiplinger.com/taxes/601225/veterans-with-children-get-second-chance-for-extra-500-stimulus-check

Social Security Recipients Get More Time to Request Extra $500 Stimulus Check

The IRS is giving seniors who receive Social Security retirement benefits, Supplemental Security Income (SSI), or Railroad Retirement (RR) benefits another chance to claim an additional $500-per-child stimulus check if they didn't already receive the extra payment.

If they're otherwise eligible for a stimulus check, seniors who receive these federal benefits, but didn't file a 2018 or 2019 tax return, should have automatically received a $1,200 stimulus payment earlier this year. However, if they have (or care for) dependent children 16 years old or younger, they had to go online and use the IRS's "Non-Filers: Enter Your Payment Info Here" tool to get the extra $500 per child that's allowed under the CARES Act.

SEE MORE Will Your Stimulus Check Increase the Tax on Your Social Security Benefits?

The catch is that they had to use the tool by noon Eastern time on April 22 to have the additional amount included in their stimulus check payment – and the IRS gave them less than 48 hours' notice of the deadline! At a result, many seniors with dependent children didn't act in time and didn't get the extra $500.

A New September 30 Deadline

On August 15, the IRS will reopen the registration period for Social Security, SSI, and RR beneficiaries who didn't receive the additional $500 payment for a dependent child. They will now have until September 30, 2020, to use the Non-Filers tool to provide information about their child. If you miss the September 30 deadline, you will need to wait until next year and claim the $500 as a credit on your 2020 federal income tax return.

The IRS says the extra $500 payments will be issued by mid-October. If you received your original $1,200 payment by direct deposit, the additional payment for your dependent children will also be directly deposited to the same account. Otherwise, you'll receive a paper check in the mail.

You can check the status of your payments using the IRS's online Get My Payment tool. A notice verifying the $500-per-child additional payment will also be sent to you. Keep that notice with your other tax records.

SEE MORE 10 Things Social Security Recipients Need to Know About Their Stimulus Check

Anyone who filed or plans to

Read more: https://www.kiplinger.com/retirement/601224/social-security-recipients-get-more-time-to-request-extra-500-stimulus-check

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