Stimulus Check Update – Will The IRS Deliver Before the Year Ends?

Although Economic Impact Payments (EIPs) may feel like a thing of the past, there are still opportunities to claim them if you missed out. These payments, also referred to as stimulus checks, were designed to alleviate the financial challenges caused by the COVID-19 pandemic. If you haven’t received your payment, or only received part of it, it’s not too late to check your eligibility and take action.

Here’s what you need to know about claiming these payments and what deadlines to keep in mind.

Payments

The EIPs were distributed in three rounds:

• First Round: Payments of up to $1,200 per individual issued in 2020.
• Second Round: Payments of up to $600 per individual issued in late 2020 and early 2021.
• Third Round: Payments of up to $1,400 per individual issued in 2021.

Most eligible individuals have already received their payments, but if you didn’t, you might still have a chance to claim them by filing a Recovery Rebate Credit (RRC) with the IRS.

Recovery Rebate Credit

The Recovery Rebate Credit allows individuals to claim missed or incomplete stimulus payments on their tax returns. Here’s how it works:

1. For 2020 Tax Returns: The deadline to claim the RRC for 2020 was May 17, 2024. Unfortunately, this deadline has passed.
2. For 2021 Tax Returns: The RRC for 2021 can still be claimed by filing an amended return or your original 2021 return by April 15, 2025.

Eligibility

You may qualify for the RRC if:

• You didn’t receive an EIP or received less than the full amount.
• Your financial or personal situation has changed since the original payments were issued. This could include a significant income decrease or adding a dependent.

How to Check

Use the IRS Online Account Tool to check your payment history and confirm if you’ve already received the stimulus payments.

Verify Income

Ensure your income and filing status during 2020 and 2021 meet the eligibility requirements:

• Income Limits: Adjusted gross income must be under $75,000 (single) or $150,000 (married filing jointly) for full payments. Reduced payments phase out at higher income levels.
• Dependents: Additional payments were issued for eligible dependents.

File a Recovery Rebate Credit

If you’re eligible, file or amend your tax return for 2021 to include the Recovery Rebate Credit. You’ll need:

• Your 2021 tax return.
• Notice 1444-C, the letter from the IRS detailing any payments you received.

Deadlines

While the opportunity to claim the RRC for 2020 has closed, there’s still time to claim the credit for 2021. Filing by April 15, 2025, is crucial to ensure you receive any outstanding payments.

Economic Impact Payments were a lifeline for millions, and if you missed out, taking the time to check your eligibility could make a meaningful difference. Don’t leave money on the table—act now to claim what’s yours.

FAQs