IRS to Issue $1,400 Stimulus Checks to One Million Taxpayers

Americans who missed out on one or more pandemic-era stimulus checks may soon be receiving a much-needed payment from the Internal Revenue Service (IRS). However, the clock is ticking as the deadline to claim the payment is fast approaching. The IRS has announced that a new round of stimulus payments, which could be as high as $1,400, will be issued to taxpayers who failed to claim the Recovery Rebate Credit. This credit was available to those who did not receive the Economic Impact Payments (EIP), or stimulus checks, that were distributed during the pandemic.

If you missed out on these payments in the past, this is your final chance to claim your money. The IRS stated that these payments would be sent automatically, and most eligible taxpayers should expect to receive their checks by the end of January 2025.

Who Is Eligible for the Latest Stimulus Check?

The IRS’s announcement comes after a thorough review of its internal data. According to the agency, around one million taxpayers filed their 2021 tax returns but did not claim the Recovery Rebate Credit. This credit was available to individuals who didn’t receive the third round of Economic Impact Payments. Those eligible to claim the credit can now expect to receive a one-time payment.

To determine if you’re eligible, you need to review your 2021 tax return. Look for the Recovery Rebate Credit field. If the field is blank or marked as $0, then you may be one of the eligible taxpayers who is set to receive a payment.

The IRS estimates that this latest round of payments will amount to a total of around $2.4 billion. The maximum amount of the payment for each individual could be as high as $1,400.

What to Know About the Stimulus Payment Process

During the COVID-19 pandemic, the IRS issued three rounds of stimulus checks: two in 2020 and one in 2021. These checks totaled around $814 billion in federal funding, which was distributed to help support families, businesses, and workers through the economic hardships caused by the pandemic. The third round of stimulus checks, which were part of the American Rescue Plan Act, included payments of up to $1,400 per eligible person, including dependents.

For those who missed out on the third round of payments, this new round is a final opportunity to claim the funds. The IRS has already reviewed internal data and identified taxpayers who didn’t claim the credit and are eligible for a payment.

The process to receive the payment is fairly straightforward. The funds will be automatically deposited into the eligible taxpayer’s bank account or sent via paper check. In addition, the IRS will send a separate notification letter to taxpayers, informing them of the payment.

IRS Commissioner on Automatic Payments

IRS Commissioner Danny Werfel stated in December that the IRS has been working hard to ensure taxpayers can access the money they are entitled to. “The IRS continues to work hard to make improvements and help taxpayers,” he said. “These payments are an example of our commitment to go the extra mile for taxpayers.”

The IRS’s automatic payment process means that eligible taxpayers will not need to go through the complicated and lengthy process of filing an amended return to claim their credit. Werfel emphasized that the IRS was trying to minimize any headaches for taxpayers by making these payments automatic.

What Happens if You Haven’t Filed Your 2021 Tax Return Yet?

If you have not yet filed your 2021 tax return, you still have time to qualify for the Recovery Rebate Credit. However, it’s important to act quickly. The IRS encourages taxpayers to submit their tax returns before April 15, 2025, or risk losing the credit entirely.

If you are unsure about whether you have already claimed the credit, you can review your tax records online using your ID.me account. This online tool will allow you to view your tax history, and it can also be used for verifying your identity for Social Security benefits or other IRS services. It’s a good idea to create an ID.me account if you haven’t already, as it can help you ensure that you receive any payments you’re entitled to.

Payments Are Automatic, But How Much Will You Get?

As mentioned earlier, the IRS will be issuing up to $1,400 per person for eligible taxpayers. The exact amount a person will receive depends on several factors, including income and filing status. To qualify for the full $1,400 payment, a single filer must have earned less than $75,000, a head of household filer must have earned less than $112,500, and married couples filing jointly must have earned less than $150,000 in 2021.

For taxpayers whose income was higher than these amounts, the payment amount will gradually phase out. For instance, single filers who earned over $80,000, head of household filers earning over $120,000, and joint filers earning over $160,000 will not be eligible for the full payment.

How Long Will It Take to Get the Payment?

Eligible taxpayers who are set to receive a payment should expect it to arrive either via direct deposit or paper check by the end of January 2025. The IRS aims to have most payments delivered by the end of the month, but some taxpayers may experience slight delays depending on the method of delivery.

Why Is This Payment Important?

For millions of Americans, the pandemic caused severe financial hardship. The stimulus checks helped individuals and families stay afloat during periods of lockdown, job loss, and financial uncertainty. For many, the $1,400 payment could provide a much-needed boost, especially as inflation and other economic challenges continue to impact household budgets.

Next Steps for Taxpayers

If you believe you are eligible for the Recovery Rebate Credit but haven’t filed your tax return yet, it’s critical to submit your tax filing as soon as possible. The April 15, 2025 deadline is the last chance to receive the payment.

For anyone still unsure about their eligibility or the filing process, it’s a good idea to consult with a tax professional who can guide you through the process and help you ensure you don’t miss out on this final stimulus check opportunity.

Disclaimer – Our editorial team has thoroughly fact-checked this article to ensure its accuracy and eliminate any potential misinformation. We are dedicated to upholding the highest standards of integrity in our content.

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