Did you know that you could still claim a stimulus check amounting to $1,400 when you file your tax returns until April 2022?
In March 2021, the government released the third stimulus check payment using tax returns from 2019 and 2020 as the basis of eligibility. According to the Internal Revenue Service (IRS), most taxpayers have received their payments as these were rolled out in batches until December 2021.
However, many U.S. workers earned a lot less for 2021 than their previous tax returns, making them eligible for an adjustment in their stimulus check payment. They might have also welcomed a new baby in the family in late 2021; thus, they could add a new dependent to their tax claims.
To check for eligibility for these adjustments, taxpayers may look up the IRS's 2021 Recovery Rebate Credit.
What is the Recovery Rebate Credit?
Claims made for the Recovery Rebate Credit will be based on their 2021 tax returns, which taxpayers may now file until April 18, 2022. However, the filers should know the exact amount they can claim for the third stimulus check payment adjustment and any other plus-up payments.
Taxpayers may either check the details on their online IRS profile or receive an actual letter from the IRS summarizing their eligible claims. In late January, the IRS had started mailing out Letter 6475 to help taxpayers determine if they have more refunds or owe the government money.
Per USA Today, Letter 6475 should have a bold header stating it's "Your Third Economic Impact Payment(s)" at the top and a "Letter 6475" at the bottom right corner. Taxpayers should have also gotten a "Notice 1444-C" from the IRS in 2021 indicating the payments released that year, with Letter 6457 providing the actual rundown of all these claims.
However, if the taxpayers are ready to file their 2021 tax returns but have not yet received Letter 6475, they could check for the updated summary at the IRS.gov portal under the Economic Impact Payment section. The IRS suggested checking and doing tax filing electronically since the details online are more up-to-date and faster to process.
Is there a Fourth Stimulus Check?
Meanwhile, as tax season is underway, social media has been rife with rumors of a fourth stimulus check, alleging a $2,000 payment for every taxpayer. On YouTube, some netizens also alleged that the fourth stimulus would be deposited or rolled out on Wednesday, February 9.
However, according to CBS News, a fourth stimulus check payment has not been approved as the government has shifted its focus on infrastructure spending to help the U.S. economy grow and invite more investors. Economists also said that another round of stimulus checks is highly unlikely as the previous payments have contributed to the inflation.
Over 169 million Americans took advantage of the last stimulus aid from the government, which helped families get by during the lockdowns and restrictions, especially for daily wage earners. However, a survey showed that a quarter of American families continue to struggle with their finances as the government dole-outs have ended and the unemployment rate remains at 4.2 percent.
