Hannah Richey
Opinion Editor
hgrichey@uab.edu
The stimulus package, or CARES Act, for COVID-19 relief is not enough and leaves out vulnerable people that will suffer the greatest loss.
Disregarding the corporate bail out portion of the package, the $1200 stimulus check is based on 2018 tax returns. The financial situation of any individual in 2018 is not a measure of their need during a pandemic.
The CARES Act also caps the $500 bonus for dependent minors at children who were 16 at the time of filing. Even if a child is still a dependent, the parent will not receive a bonus for them and the dependent 17 to 24-year-old will not receive their own stimulus check even if they filed taxes in 2018.
Those who had a child after filing will also not receive cash benefits but will receive a tax credit on their 2020 return. Parents need diapers and formula today.
Dependent young adults were left with no benefits but still have bills to pay and groceries to buy. Parents of college students also have an extra mouth to feed with many returning home for quarantine due to school closures.
Undocumented people also won’t be receiving anything. This is because many undocumented people use an Individual Taxpayer Identification Number (ITIN) to file rather than a Social Security Number (SSN). The stimulus checks are sent to taxpayers that used their SSN to file.
This is another anti-immigrant and racist action President Donald Trump’s administration has implemented to prevent immigrants from receiving benefits they need in order to survive.
Compare this bill to Canada’s which will give $2000 per month for the next 4 months to anyone who has lost their job or is quarantined. The benefits will be sent within 10 days of making a claim.
The checks from the U.S.’s stimulus package will come faster for those who have set up direct deposit, a privilege many low-income people do not have due to minimum requirements for opening bank accounts.
Those who don’t have direct deposit set up will receive checks starting April 24. Forbes reports that taxpayers with the lowest adjusted gross income will be receiving their checks first.
Forbes also reports that since the IRS will be mailing out 5 million checks per week. This means that many people will not receive their check until September.
September is too far away. People need money now.
The U.S. has a multitude of ways to provide immediate relief but the president refuses to do it because he doesn’t want a bruised ego by acknowledging how dire the situation is.
Congresswoman Rashida Tlaib has a comprehensive plan to ensure as many people as possible receive money.
She proposed the Automatic BOOST to Communities Act which uses the Treasury to issue two trillion platinum coins, which prevents adding onto the national debt.
This would ideally give $2000 to every single person, including dependents and undocumented people, by using direct mail via the USPS, in-person pick-up and at-risk outreach. After the initial $2000 a $1000 would be sent every month until the crises ends.
The money would be on prepaid debit cards and recipients would be entered into a database to ensure they do not use more than their allotted cards.
This is an efficient and non-discriminatory method that gives relief to people regardless of any status that would normally prevent them from receiving benefits such as undocumented status or being homeless.
Relief is needed immediately, not in September. The CARES Act doesn’t do enough.
