Millions of Americans may be getting a financial boost in 2025, as the IRS is rolling out new payments ranging from $1,400 to $2,000. These payments are designed to help those who may have missed out on previous stimulus checks or tax credits. But who qualifies? And how can you claim your money? Here’s what you need to know.
$1,400 Payments for Those Who Missed Recovery Rebate Credit
The IRS has announced that about one million people will receive automatic payments of up to $1,400. These payments are for individuals who were eligible for the third round of Economic Impact Payments (stimulus checks) in 2021 but never claimed them on their tax returns.
If you filed a 2021 tax return but forgot to claim the Recovery Rebate Credit, don’t worry—the IRS is automatically sending out the money. Payments are expected to arrive by late January 2025, either through direct deposit or by check.
However, if you never filed a 2021 tax return, you may still be able to claim your missing stimulus payment. But there’s a deadline—you must file your 2021 tax return by April 15, 2025, to get the money.
Up to $2,000 for Parents Through the Child Tax Credit
In addition to the Recovery Rebate Credit, families with children can benefit from the Child Tax Credit (CTC), which offers up to $2,000 per qualifying child under 17.
To qualify for the CTC:
- The child must be closely related to you (biological, stepchild, sibling, or grandchild).
- You must have provided more than half of their financial support.
- The child must be a U.S. citizen, national, or resident alien with a valid Social Security Number.
The credit starts to phase out for individuals earning over $200,000 and for joint filers earning over $400,000. For lower-income families, part of the credit is refundable through the Additional Child Tax Credit (ACTC), which allows parents to receive up to $1,700 back in refunds.
How to Claim These Payments
If you’re wondering whether you qualify for these payments, here’s a quick breakdown:
- If you filed a 2021 tax return but didn’t claim the Recovery Rebate Credit, the IRS is sending your payment automatically—you don’t need to do anything.
- If you haven’t filed a 2021 tax return yet, file it before April 15, 2025, to claim your missing stimulus money.
- If you have kids under 17, make sure to claim the Child Tax Credit when filing your 2024 tax return.
Final Thoughts: Don’t Miss Out on This Money
The IRS is making it easier for taxpayers to get the money they are owed without needing to go through a lengthy process. But some payments, like the Recovery Rebate Credit, require action before the deadline.
If you think you might qualify, check your tax records and file any missing returns before it’s too late. These payments could be a much-needed financial boost, so don’t leave money on the table!
For more details, visit IRS.gov or consult a tax professional.
