U.S. taxpayers who didn’t claim the Recovery Rebate Credit on their 2021 tax return may be eligible to receive a stimulus check in January. According to a statement from the Internal Revenue Service (IRS), records indicate that millions of eligible taxpayers failed to claim the Recovery Rebate Credit after filing their returns.
“Looking at our internal data, we realized that one million taxpayers overlooked claiming this complex credit when they were actually eligible,” IRS Commissioner Danny Werfel said in a statement, according to USA Today. “To minimize headaches and get this money to eligible taxpayers, we’re making these payments automatic, meaning these people will not be required to go through the extensive process of filing an amended return to receive it.”
How Will the IRS Send Out Stimulus Payments?
Eligible taxpayers will automatically receive their stimulus payments through direct deposit or paper check in late January. Before the payments are sent out, the IRS will notify recipients with a letter confirming the upcoming stimulus check.
To check their IRS stimulus checks eligibility, taxpayers can review their 2021 tax returns to see if the Recovery Rebate Credit section was left blank or marked as $0. While the IRS will distribute a total of $2.4 billion, some individuals may receive as much as $1,400.
Can Non-Filers Still Claim Their Stimulus Check?
People who did not file a 2021 tax return may still qualify for a stimulus check. However, they must file their 2021 tax return and claim the credit by April 15, 2025, to receive payment.
“Eligible taxpayers who did not file must file a tax return to claim a Recovery Rebate Credit, even if their income from a job, business, or other source was minimal or non-existent,” the IRS stated.
Breakdown of Previous IRS Stimulus Checks
During the COVID-19 pandemic, the IRS issued three rounds of stimulus payments to assist families affected by economic challenges. Here’s a breakdown of the payments:
First Round (March 2020 – CARES Act): Eligible taxpayers received up to $1,200 per individual and $500 per child.
Second Round (December 2020 – Consolidated Appropriations Act): Payments of $600 per taxpayer and $600 per child were distributed.
Third Round (March 2021 – American Rescue Plan Act): Provided $1,400 per taxpayer and $1,400 per child.
How To Check Your IRS Stimulus Checks Eligibility
To confirm eligibility, taxpayers should review their 2021 tax return for the Recovery Rebate Credit entry. If it’s blank or listed as $0, they may be among those set to receive automatic payments. For non-filers, submitting a 2021 return before the April 15, 2025, deadline is necessary to claim the credit.