The Internal Revenue Service (IRS) said it would send eligible people who did not claim the Recovery Rebate Credit on their 2021 tax returns automatic payments throughout January. This is part of their ongoing efforts to help taxpayers.
The IRS announced the special measure on its website after looking at data that showed many eligible taxpayers filed a return but did not claim the credit.
People who did not receive any Economic Impact Payments (EIP), also known as stimulus payments, can get a credit called the Recovery Rebate Credit that they can get back.
When and how will you receive this benefit from the IRS?
These payments will be sent automatically in December and should arrive in most cases by the end of January 2025. Eligible taxpayers do not have to do anything to get them.
Payments will be deposited directly or sent automatically by paper check. Taxpayers who are eligible will also get a letter letting them know about the payment.
“The IRS keeps working hard to help taxpayers and make things better,” said Danny Werfel, commissioner of the IRS. “These payments are an example of our commitment to going the extra mile for taxpayers.”
“When we looked at our internal data, we realized that one million taxpayers overlooked claiming this complex credit when they were actually eligible,” he said.
“To minimize headaches and get this money to eligible taxpayers, we are making these payments automatic, meaning these individuals will not have to go through the lengthy process of filing an amended return to receive it.”
Payments depend on a number of factors, but the most each person can get is $1,400. A rough guess is that about $2.4 billion will need to be paid.
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