After consulting the Embassy of the Republic of Palau in Washington DC, the Ministry of State has issued a press release warning Palauans with US Social Security Cards residing in Palau, of the possible “dire consequences” of applying for the Economic Impact Payment of the Internal Revenue Service of the USA.

According to the IRS, the economic stimulus, a financial aid meant to offset the economic impact of the COVID pandemic, was aimed at supporting residents of the USA and its five territories– which include Puerto Rico, US Virgin Islands, Guam, Commonwealth of the Northern Mariana Islands, and American Samoa. The stimulus was intended for those residents who had worked and paid taxes but did not file their taxes for Fiscal Year 2018-2019 due to low income.

The MOS went on to say that citizens of Palau who applied for this financial aid would be “defrauding the IRS and the Government of the United States”, and that doing so would possibly result in “dire consequences”.