From 2022 onward, the U.S. federal government ceased issuing stimulus checks. However, there’s still hope in 2023, especially if you didn’t receive the last – the third – stimulus check for some reason. This payment was primarily for individuals earning less than $75,000, or for married couples with a combined income of less than $150,000.
If you missed out on your $1,400 stimulus check, don’t worry – there’s a way to claim it. You can still receive it through the Recovery Rebate Credit on your 2021 federal tax return. U.S. Treasury Department’s data reveals that around 644,705 people haven’t received their third stimulus check yet. But the silver lining in 2023 is – you still have time to claim it.
Understanding Your Eligibility and Claiming Your Stimulus Check
Here’s the deal: if you’re a single taxpayer, you can receive up to $1,400 from the stimulus check. If you’re part of a married couple filing a joint return, you’re in luck – you can receive up to $2,800 as an economic impact payment. To keep track of your funds, all you need to do is securely log into your personal online account with the Internal Revenue Service (IRS). Eligible individuals should’ve received a letter, named 6475, where the IRS outlines the total amount of your third economic impact payment and any extra payment for 2021 income.
This crucial information is necessary to claim the Recovery Rebate Credit on your 2021 tax return. Just remember – the IRS cautions not to include any details about the first and second economic impact payments or the 2020 recovery refund when claiming your 2021 Recovery Rebate Credit.
Starting from March 2021, the IRS commenced the process of sending out third-round economic impact payments to eligible people and continued throughout the year, coinciding with the processing of tax returns.
Wondering who could still be owed their third stimulus check?
Families who added a dependent (like a parent, niece, nephew, or grandchild) in 2021 to their income tax return, who was not listed as a dependent on their 2020 tax return, may be eligible to receive a 2021 tax refund. Such families will be granted a Recovery Rebate Credit of up to $1,400 for this dependent.
Single taxpayers who earned more than $80,000 in 2020 but less in 2021, married couples who filed jointly and had an income over $160,000 in 2020 but less in 2021, and heads of household who earned more than $120,000 in 2020 but less in 2021, might be eligible for a 2021 Recovery Rebate Credit of up to $1,400 per person.
Similarly, single taxpayers who earned between $75,000 and $80,000 in 2020 and less in 2021, married couples who filed jointly and earned between $150,000 and $160,000 in 2020 and less in 2021, and heads of household who earned between $112,500 and $120,000 in 2020 and less in 2021, may also qualify.
How do I claim the Recovery Rebate Credit on my tax return?
For the 2021 Recovery Rebate Credit:
- File your 2021 tax return electronically and use tax software to help you calculate the credit.
- You will need the total amount of your third Economic Impact Payment and any plus-up payments to claim the 2021 Recovery Rebate Credit. You can find this information in your online account or on Letter 6475 from the IRS.
- Do not include amounts of missing first or second stimulus payments on your 2021 tax return. Instead, follow the instructions for claiming the 2020 Recovery Rebate Credit.
- Provide your routing and account numbers if you want to receive your Recovery Rebate Credit as a direct deposit into your financial account.