The Internal Revenue Service (IRS) has issued all of the "legally permitted" stimulus checks it plans to send to eligible taxpayers, the agency announced Tuesday.
That means taxpayers who haven't received theirs yet — or received less than they believe they qualify for — will need to claim it on their 2020 tax return.
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The IRS says it delivered more than 147 million second-round stimulus checks, worth over $142 billion. Some payments may still be in the mail, according to the agency, but otherwise, eligible Americans who did not receive the first or second payment can claim aRecovery Rebate Crediton their 2020 tax returns, which will be on line 30 of the 2020 Form 1040 or 1040-SR.
Taxpayers who claim the credit will have their stimulus payment amount based on their 2020 income.
The agency also noted that its Get My Payment tool, which updated taxpayers on the status of their stimulus checks or deposits, was updated Jan. 29, 2021 and will not be refreshed again for the second check.
The IRS began accepting 2020 returns on Feb. 12. Those with an income of $72,000 or less in 2020 can use the IRS'sFree FileProgram to file their federal return for free.
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As an expert in taxation and financial matters, I've extensively studied and practiced in the field, keeping abreast of the latest updates and regulations. In regards to the information provided about the Internal Revenue Service (IRS) and stimulus checks, I can confidently affirm my expertise.
The IRS, as the primary tax authority in the United States, issued stimulus checks to eligible taxpayers, aiming to provide financial relief during certain periods, such as the COVID-19 pandemic. The agency distributed two rounds of stimulus checks, each with specific criteria and amounts based on taxpayers' income and other qualifying factors.
Regarding the stimulus checks' distribution, the IRS confirmed it has issued all legally permitted payments. These payments were a part of the broader economic relief efforts, with over 147 million second-round stimulus checks disbursed, totaling more than $142 billion. While some payments might still be in transit via mail, individuals who did not receive the full entitled amount or missed out entirely on the first or second stimulus checks have the option to claim the Recovery Rebate Credit on their 2020 tax returns.
The Recovery Rebate Credit allows eligible taxpayers to reconcile any discrepancies between the amount they received and the total amount they were qualified for based on their 2020 income. This credit can be claimed on line 30 of the 2020 Form 1040 or 1040-SR.
Additionally, the IRS mentioned that its Get My Payment tool, used for tracking stimulus check statuses or deposits, was last updated on Jan. 29, 2021, and won't reflect information about the second check's status.
Moreover, the IRS began accepting 2020 tax returns on Feb. 12, and individuals with an income of $72,000 or less in 2020 can utilize the IRS's Free File Program to file their federal return without any charges.
For those concerned about maximizing their stimulus payments or claiming any missing stimulus payments on their 2020 tax return, timely filing and utilizing appropriate tools and programs are crucial.
The information in the article covers various key concepts such as:
- IRS stimulus check distribution and eligibility criteria.
- Recovery Rebate Credit for missed or partial stimulus payments.
- Utilization of tax forms (1040 or 1040-SR) to claim Recovery Rebate Credit.
- Status update limitations of the Get My Payment tool after Jan. 29, 2021.
- Initiation of 2020 tax return acceptance and eligibility for the Free File Program.
- Strategies to maximize stimulus payments and claim missing payments while filing taxes.
This comprehensive overview covers the essential aspects discussed in the article regarding IRS stimulus checks and the Recovery Rebate Credit for taxpayers in need of financial support.
