There is a lot of uncertainty over the fate of the second round of stimulus checks. Before the beginning of August, many expected to receive another stimulus check by the end of August or early September. However, things have changed a lot in the past month, and this has changed the estimated timeline of the next round of coronavirus stimulus checks as well.
Using the timeline of the first checks
There is no deal yet on the next stimulus package. Several proposals have been exchanged, but Democrats and Republicans have not reached a final agreement. Negotiators have talked a few times in the last few days, but things are not expected to pick back up until after lawmakers return to office after Labor Day.
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Thus, the new timeline for the next round of coronavirus stimulus checks will have this date as its base. We can also say we are assuming that both sides will start negotiations Sept. 8.
There are no hard and fast rules in developing a timeline for the next round of coronavirus stimulus checks. We can only estimate it based on the timeline we have for the first round of checks.
The Senate passed the CARES Act on March 25, and the next day it was passed by the House. It was signed by the president on March 27, while the first checks were sent on April 15. We will use this timeline and some assumptions to estimate when the checks will be sent this time, if at all.
One highly optimistic scenario will be the two sides starting negotiations on Sept. 8 and reaching a deal by the end of the week. If both sides show urgency, they could get the formalities sorted out by Sept. 12. The formalities include the approval of the Senate, House and president.
In such a case, we can expect the IRS to send out the first checks the week of Sept. 21. At the time of the CARES Act, the IRS took about three weeks to push out the first checks. However, this time the agency has the needed infrastructure in place. Thus, we expect it to send out the first checks within two weeks of the president’s approval.
Another likely scenario is if negotiations stretch beyond next week, but a deal is reached the following week. In this case, we assume all the formalities will be completed by Sept. 18. In this case, the IRS could start sending out the checks in the week of Sept. 28.
Another possible scenario is if the negotiators reach a deal in the week of Sept. 21. In this case, we expect the formalities to be completed by the end of that week, i.e., Sept. 25 or 26. The IRS would then be able to send out the first checks in the week of Oct. 5.