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Are you eligible for a $1,400 payment? Some Americans are nearing the deadline to claim it.
The Internal Revenue Service stated in December it would issue approximately $2.4 billion – up to $1,400 per individual – in payments to eligible U.S. taxpayers who failed to claim the Recovery Rebate Credit on their 2021 tax returns.
As per the IRS, this payment initiative was launched after the agency analyzed internal data revealing that numerous eligible taxpayers who filed a 2021 tax return overlooked the Recovery Rebate Credit, a refundable credit designed for individuals who did not receive one or more Economic Impact Payments, popularly known as stimulus payments.
Here’s what you need to know about your eligibility for the payment, with the deadline approaching on April 15.
Who qualifies for the Recovery Rebate Credit?
The Recovery Rebate Credit was designed for individuals who did not receive one or more stimulus checks during the COVID-19 pandemic, also identified as Economic Impact Payments, according to the IRS.
Starting December 2024, the IRS will begin issuing special payments to those eligible for a Recovery Rebate Credit who did not claim it on their 2021 tax returns.
Individuals who did not receive the total amount of the third stimulus check – dispersed in March 2021 – may be able to obtain the Recovery Rebate Credit on their 2021 tax return, as indicated by the IRS. Concerning the earlier two stimulus checks (disbursed in March 2020 and December 2020), taxpayers are advised not to include details about these payments or the 2020 Recovery Rebate Credit on their 2021 tax returns.
Americans who qualify for the credit but have yet to file their 2021 tax return can still receive the payment by filing by April 15, 2025.
Eligible taxpayers who submitted their 2021 tax returns but did not claim the Recovery Rebate Credit should have received their payments automatically in December 2024 or January 2025, according to the IRS.
Taxpayers can verify if they claimed this credit by reviewing their 2021 tax return for any unfilled Recovery Rebate Credit fields or entries listed as $0.
To understand which stimulus checks or Economic Impact Payments (EIP) you may have qualified for, the IRS recommends signing into your online account to check the “Economic Impact Payment Information” section on the “Tax Records” page.
The IRS reports that over 1 million taxpayers in the U.S. failed to claim the Recovery Rebate Credit on their 2021 tax return despite being eligible.
Who must adhere to the April 15 deadline?
Eligible individuals must submit a tax return to claim the Recovery Rebate Credit, even if their income from employment, business, or other sources was minimal or nonexistent, according to the IRS.
How can taxpayers claim a payment of up to $1,400?
The IRS has announced that payments will commence in December 2024 and continue through late January 2025.
Eligible taxpayers will receive a notification letter concerning the payment, which will be either directly deposited or sent via paper check.
Taxpayers who did not file a 2021 tax return may still qualify for the check provided they submit their return and claim the Recovery Rebate Credit by April 15.
What is the payment amount for eligible taxpayers?
An eligible taxpayer could receive a maximum of $1,400, as specified by the IRS.
The stimulus amount depends on your adjusted gross income. To qualify for the full $1,400, a taxpayer’s annual income cannot exceed $75,000 for single filers or $150,000 for married couples filing jointly.
Contributing: Maria Francis, USA TODAY Network
Gabe Hauari is a national trending news reporter at USA TODAY. Follow him on X @GabeHauari or contact him via email at Gdhauari@gannett.com.
Greta Cross is a national trending reporter at USA TODAY. Connect with her on X and Instagram @gretalcross. Story ideas? Reach out via email at gcross@usatoday.com.
