The snafu isn’t surprising due to the administrative resources at the IRS’ disposal and the speed with which the agency was trying to issue the payments, which hit bank accounts roughly two to three weeks after enactment of the financial-relief package, according to tax experts.
The IRS largely relies on the Social Security Administration for up-to-date death records, said Leonard Burman, co-founder of the Urban-Brookings Tax Policy Center. The SSA, in turn, gets that information from a number of sources like state death records, family members, financial institutions and others, he said.
That information could take anywhere from a few months to a year or more to trickle in after someone’s death, Burman said.
“All of those thigns are only available with a lag,” said Burman. “One of the imperatives of the economic stimulus checks was to get the money out quickly.”
Bank accounts of deceased individuals also
This is a developing story. Please check back for updates.
Source Article from https://www.cnbc.com/2020/04/17/irs-sends-coronavirus-stimulus-checks-to-dead-people.html
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