In the United States, the Recovery Rebate Credit of 2021, commonly known as the stimulus check, is a US Internal Revenue Service (IRS) program designed to offer financial assistance to qualifying taxpayers. If you did not get the entire third Economic Impact Payment, you may claim up to $1,400 in credit on your 2021 tax return. The primary goal is to guarantee that all qualified residents get the financial assistance they are entitled to.
The IRS recently stated that it will provide extra automatic payments, known as special payments, to nearly one million taxpayers who did not claim the Recovery Rebate Credit on their 2021 tax returns. These are stimulus checks. The purpose of these payments, which total over $2.4 billion, is to ensure that consumers who did not claim the credit get the correct amount without having to take any further action.
Who is eligible to get this Stimulus check?
In order to qualify for the 2021 Recovery Rebate Credit, one must fulfill the requirements set forth by the IRS:
- Valid Social Security Number (SSN):Â Prior to the filing date of the 2021 tax return, the taxpayer and any dependents they may have claimed must have a valid SSN.
- Not a dependent: The taxpayer must not have been claimed as a dependent on another person’s tax return for the year 2021.
- Income within established limits:Â The amount of the credit begins to be reduced for individuals with adjusted gross income (AGI) over $75,000, heads of household with AGI over $112,500, and married couples filing jointly with AGI over $150,000.
It is significant to remember that if an individual satisfies the other standards, they may still qualify for the credit even if they have little or no income. Additionally, provided they fulfilled the requirements prior to their passing, people who passed away in 2021 or 2022 but did not get the third Economic Impact Payment might qualify for the stimulus check credit.
How to get the stimulus check?
Even if they are not required to, taxpayers must submit a 2021 tax return to collect the 2021 Recovery Rebate Credit. The IRS Free File program offers free options for preparing and completing electronic forms. The quickest method to get a refund is to file online and choose direct deposit to a bank account, prepaid debit card, or mobile app.
To be eligible for the credit and any additional refunds, taxpayers must submit their 2021 tax returns by April 15, 2025. To avoid payment delays, it is important to submit your return as soon as possible. If a taxpayer makes an error while computing the credit on their 2021 return, the IRS will automatically fix the amount and tell them of any changes, so no revised return is necessary.
In all of these circumstances, taxpayers who did not get the full amount of stimulus funds may claim the 2021 Recovery Rebate Credit, popularly known as the “stimulus check.” To get this benefit, you must meet the qualifying conditions and file the required tax return before the deadline.
