Believe it or not, something many considered implausible is going to happen. The IRS is prepared to give one million Americans a $1,400 stimulus payout. Yes, you read that correctly. But, why now? It’s a special payout for those who, for whatever reason, did not claim this benefit when it was first offered.
The IRS—basically the tax authority most people despise—dug through their records and discovered that approximately a million people were eligible for the Recovery Rebate Credit.
Sounds fancy, right? But, in reality, it is simply a refund for pandemic-era stimulus money that some people did not receive. If you are eligible but did not receive one, this money is for you.
What’s this stimulus check about, and why now?
Here’s the kicker: you don’t have to do anything. There are no forms to fill out, and no protracted phone calls. The IRS is processing it automatically. You will either have the funds placed into your bank account or receive a physical check in the mail.
Oh, and they will also send you a note informing you that it is on its way. Similar to when you receive a shipment reminder on a package you forgot you ordered.
When’s the money coming?
These installments are scheduled to begin in December, allowing you to have the cash in hand before the holidays—or at least by January 2025. It’s ideal if you’re thinking about gifts or need to catch up on payments. Regardless, it’s a great little lift.
How can you tell if you qualify?
These reimbursements are intended for persons who filed their 2021 tax returns but left the Recovery Rebate Credit field blank—or perhaps entered “0” by mistake.
If you failed to file your 2021 taxes, the IRS says you still have time to do so. Just file by April 15, 2025, and you might be eligible. It’s worth checking, right?
Don’t worry if your bank account has changed since you filed your 2023 taxes. If the payment bounces, the IRS will simply mail a check to the address on file. No further effort is required on your behalf.
How much money is being sent out?
We’re talking about $2.4 billion, distributed among a million people. According to IRS Commissioner Danny Werfel, this endeavor is part of a larger attempt to make things easier for taxpayers.
“We want to make sure this money gets to the people who need it without unnecessary hassle,” says Werfel. That means no cumbersome forms, no extra worry, simply automatic payments.
One last thing to keep in mind
If you believe you could be one of the fortunate recipients, be patient. The money will make its way to you. However, if you have not filed your 2021 taxes, now is the time to do so. Avoid leaving money unclaimed for too long.
For many, this payout may be the assistance they have been looking for. Who wouldn’t welcome an extra $1,400 to start the new year on a positive note?
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