Good news for millions of Americans! The IRS has started issuing automatic payments of up to $1,400 to taxpayers who missed out on claiming the Recovery Rebate Credit (RRC) on their 2021 tax returns. This surprise payout aims to help those who were eligible for pandemic relief but didn’t receive their full stimulus payments at the time.
Why Is the IRS Sending These Payments?
During the COVID-19 pandemic, the federal government issued three rounds of stimulus checks. However, some people never received their full payments due to filing errors, missing tax returns, or simply not knowing they were eligible.
To fix this, the IRS recently reviewed its records and identified around one million taxpayers who failed to claim the Recovery Rebate Credit. Instead of making people go through a complicated process to get their money, the agency decided to send out these payments automatically.
Who Is Eligible?
If you were eligible for stimulus money but didn’t claim the Recovery Rebate Credit on your 2021 tax return, you might be receiving this automatic payment. The IRS is sending checks to individuals and families based on their most recent tax return data.
How Much Will You Get?
The payment amount varies, but eligible individuals could receive up to $1,400 per person. That means a family of three could get a surprise deposit of $4,200!
How Will the Payments Be Sent?
The IRS is sending payments either through direct deposit (if they have your banking details) or by paper check. The distribution process began in December 2024, and most people should receive their money by the end of January 2025.
What If You Didn’t File a 2021 Tax Return?
If you never filed a tax return for 2021, there’s still time to claim your payment! The IRS has set a deadline of April 15, 2025, for non-filers to submit their tax returns and claim any missing stimulus money.
What Should You Do Next?
If you think you qualify, check your bank account or mailbox for a payment from the IRS. The agency will also send out letters confirming the deposit. If you’ve moved or changed bank accounts since filing your last tax return, you may need to update your information on the IRS website.
This latest round of payments is part of the government’s continued effort to ensure every eligible taxpayer gets the financial help they deserve. If you missed out on stimulus money, now is your chance to finally get what’s owed to you!
