The IRS is distributing $2.4 billion in stimulus checks: Are you one of the eligible recipients?
Qualified U.S. taxpayers will get payments via direct deposit or paper check.
The Internal Revenue Service (IRS) has announced that U.S. taxpayers who did not claim the Recovery Rebate Credit on their 2021 tax return may receive a stimulus check by the end of January.
The IRS explained that the decision follows an analysis of internal data showing that some eligible taxpayers who filed returns failed to claim the credit. The Recovery Rebate Credit is described by the IRS as a “refundable credit for those who did not receive one or more Economic Impact Payments (EIP), also referred to as stimulus payments.”
“After reviewing our internal data, we found that about a million taxpayers missed out on this complicated credit even though they were qualified,” IRS Commissioner Danny Werfel mentioned in a press release. “To ease the process and ensure eligible taxpayers get this money, we are opting for automatic payments, which means they won’t have to go through the hassle of amending their returns to obtain it.”
Here’s what eligible taxpayers should know regarding the stimulus payments, including the process to receive them.
What steps must eligible taxpayers take to get the stimulus checks?
The IRS assures that eligible taxpayers do not need to take any action to receive their stimulus payments, which were automatically distributed in December and will be arriving by late January this year.
Eligible individuals will receive payments through direct deposit or paper checks, according to the IRS.
How can taxpayers determine their eligibility for the stimulus payment?
Taxpayers who qualify will receive a letter specifically informing them of the upcoming stimulus payment.
Moreover, they can check their 2021 tax returns to see if they left the Recovery Rebate Credit section blank or entered $0.
What is the amount of money taxpayers will receive?
The amount of the stimulus payments will differ, but the IRS indicates that the maximum allowable payment for qualifying taxpayers is $1,400.
The total amount being distributed across the country is estimated at $2.4 billion, as reported by the revenue service.
What should individuals do if they didn’t file their 2021 tax return?
If someone did not submit a 2021 tax return, they may still qualify to receive the stimulus check by filing their 2021 return and claiming the Recovery Rebate Credit by April 15, 2025, according to the IRS.
“Qualified taxpayers who did not file a return must still submit one to claim a Recovery Rebate Credit, regardless of whether their income was minimal or non-existent,” the IRS clarified.
