The first two stimulus checks have passed, but the third economic impact payment worth up to $1,400 per person is still up for grabs if you haven’t received it yet.
Most payments authorized by the American Rescue Plan in March 2021 have already been paid to eligible beneficiaries by direct deposit or postal check, in January 2022.
But if you haven’t received yours or aren’t eligible for additional funds, your last chance to get those funds is through a 2021 tax return, which is due April 18 for Most people.
Technically, the third stimulus check was an advance on the 2021 recovery refund credit, even though it was based on the income and number of dependents reported on your 2020 or 2019 tax return. may owe you more money if your income drops or you add new dependents in 2021. Similarly, you may be eligible for the full credit if you never filed a tax return in 2019 or 2020.
How to claim stimulus funds on your 2021 tax return
The third round of stimulus payments are worth up to $1,400 per person if your adjusted gross income is $75,000 or less as a single filer, or $160,000 or less as a joint filer. Families are entitled to $1,400 per dependent for dependents of any age.
Before claiming the funds, make sure they have not already been sent to you. You can confirm the amount of the third payment and whether it was sent to you by logging into your IRS online account or the Get My Payment app. You can also refer to a letter sent to you by the IRS, known as Notice 1444-C, which will tell you how much you are owed.
If you lost your stimulus check or suspect it was stolen, you can ask the IRS to trace your payment and get the amount automatically refunded as a tax refund. If you file your 2021 tax return before your trail is complete, do not include the payment amount on the recovery refund credit worksheet, the IRS says.
Otherwise, you will need to complete the Salvage Refund Tax Credit Worksheet and submit it as part of your 2021 tax return. The worksheet will help you calculate how much you can claim. Then, claim it on line 30 of Form 1040 or Form 1040-SR of your 2021 tax return.
Tax software will also guide you through this process and automatically add all the information to your tax return.
If you realize later that you made a mistake in calculating the salvage rebate credit, don’t bother filing an amended return. The IRS will automatically change it for you. They must notify you of any changes to a letter, with a way to challenge the change if you believe it was made incorrectly.
And remember, you can file your tax return for free if your income is $73,000 or less, using the IRS Free Files program.
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