The Internal Revenue Service (IRS) has begun sending out automatic stimulus payments of up to $1,400 to eligible Americans who missed out on earlier financial relief. Over one million people are expected to receive these payments, with no action required on their part.
The payments come as part of a program aimed at taxpayers who did not claim the 2021 Recovery Rebate Credit (RRC) on their tax returns. This credit was created to help those who missed or received less than the full amount of previous stimulus checks during the COVID-19 pandemic.
Who’s Getting the $1,400 Payment?
Not everyone will receive this surprise stimulus, but if you meet the following criteria, you may be in for some good news:
- You filed a 2021 tax return.
- You were eligible for the 2021 Recovery Rebate Credit.
- You did NOT claim the credit or mistakenly left it blank on your return.
If this sounds like you, the IRS has likely already reviewed your case and processed your payment automatically.
How Did People Miss Out on the Stimulus Checks?
Many people didn’t realize they could claim additional stimulus money through the RRC when they filed their 2021 tax returns. Some thought they had received all they were entitled to, while others were confused by the complex filing process. In response, the IRS stepped in to identify those who qualified but didn’t claim the credit.
Danny Werfel, IRS Commissioner, explained, “We saw that many people were eligible but didn’t know how to claim the credit. To ensure they don’t miss out, we’ve taken steps to send the payments automatically.”
When Will You Get the Payment?
The IRS started issuing payments in December 2024, with most expected to be delivered by the end of January 2025. The money will arrive through direct deposit or paper checks, depending on how you filed your tax return. Along with the payment, recipients will also receive a letter confirming the amount and explaining the details.
The average payment is $1,400 per person, but the final amount depends on income and family size.
Do You Need to Take Action?
In most cases, no. If you’re eligible, the payment should arrive automatically without you needing to file an amended tax return. However, if you haven’t yet filed a 2021 tax return, there’s still time to claim any stimulus money you may be owed. The IRS has extended the deadline to April 15, 2025, giving taxpayers one last chance to file and receive their payment.
Why Is This Important?
For many, this unexpected stimulus payment could be a financial lifeline as inflation continues to impact household budgets. The IRS estimates it will distribute around $2.4 billion through this initiative, providing relief to families and individuals who may have unknowingly missed out.
If you’re unsure about your eligibility or want to learn more about the Recovery Rebate Credit, the IRS encourages you to visit its website for guidance. Don’t miss the opportunity to claim any financial assistance you’re entitled to before the April deadline.