$1400 IRS Stimulus Check: If you are one of those Arizona taxpayers who filed their tax returns in 2021 but did not bother to claim the Recovery Rebate Credit, then now you have a great opportunity to get money sitting idle. Yes, the Internal Revenue Service (IRS) has announced that it is going to give money in the coming weeks to those Americans who forgot to claim this important credit. You will be surprised to know that about 1 million taxpayers are eligible for this facility, out of which about 20,000 families are from Arizona alone.
What is the matter of Recovery Rebate Credit?
The IRS has revealed from its data that many taxpayers, who were probably too busy to file their tax returns or got upset with such a complicated process, did not claim the Recovery Rebate Credit in 2021. Now the IRS has decided to give them relief and all those who are eligible for this credit will be automatically paid this payment.
Purpose of the scheme
The purpose of this credit was to give some strength to the US economy when the whole world came to a standstill during COVID-19. If you did not claim this credit, then do not worry, because now the IRS is going to send you this money, and that too without any extra effort. You will get this money by the end of January, so be a little patient and keep checking your bank account.
Who all are eligible for this wonderful payment?
The IRS has made sure that most taxpayers are eligible for this payment, but those who had higher incomes have been excluded from this scheme. If you already took the third Economic Impact Payment, then you may not get as much as you are thinking, because your amount may be reduced accordingly.
Now if your 2021 Adjusted Gross Income (AGI) is within certain limits, you will get the full credit, but if you fall outside those limits, you should give up on the credit. These limits are as follows:
- Single filer: If your AGI is more than $75,000, the credit will gradually decrease and you will get no credit above $80,000.
- Head of household: If your AGI is more than $112,500, the credit will decrease and you will get no credit above $120,000.
- Married filing jointly: If your AGI is more than $150,000, you will get a slightly reduced credit and you will get nothing above $160,000.
All of this information can seem a little complicated, and the IRS itself has admitted that the process is not that simple. So, if you want more information, you can go to the IRS website and read it, but yes, you will have to be a little patient because you are aware of the speed of government websites.
How much amount can you expect?
The IRS has clearly stated that if you are eligible, you can get a maximum amount of up to $1,400. This is not a small amount, especially when you are getting it without any extra effort. In total, an amount of $2.4 billion will be given to those who were negligent in claiming this credit or did not understand it.
How will I get this amount?
Now you must be wondering how will I get this money and what will I have to do for this? So listen, you do not need to do anything. Yes, you heard it right. The IRS will check your eligibility itself and will send you this amount automatically. This process has started from the end of December, and most people will get this amount by the end of January.
Those who are eligible will be informed by the IRS through a separate letter that you are going to get the fruits of your hard work. This amount will either reach you through a paper check or will be deposited directly into your bank account, provided you have given the correct bank details in your 2023 tax return.
What if I did not file 2021 tax?
If you are among those who have not filed their tax return in 2021, there is still a ray of hope for you. The IRS has said that if you still file your previous return, you may be eligible for this payment. But for this you have to hurry up a bit, because you have time till April 15, 2025. After this, no matter how much you regret, you will not be entitled to this amount.
Who are eligible for this special payment?
If you had written $0 in the Recovery Rebate Credit section in your 2021 tax form or left that section blank, then you do not need to panic. The IRS will check on its own to see if you’re eligible for this payment, and if you are, you’ll receive the money.
| Eligibility and Payment Information | Details |
| Maximum Payment | $1,400 |
| Eligible Individuals | Those who did not claim the Recovery Rebate Credit in 2021 |
| Income Limit (Single) | Full credit up to $75,000, no credit above $80,000 |
| Income Limit (Head of Household) | Full credit up to $112,500, no credit above $120,000 |
| Income Limit (Married Filing Jointly) | Full credit up to $150,000, no credit above $160,000 |
| Payment Method | Paper check or direct deposit |
| Deadline for Filing Previous Return | 15 April 2025 |
Conclusion
So now that you have got the information about this whole matter, what are you thinking? If you filed your tax return in 2021 and forgot to claim Recovery Rebate Credit, then this is a golden opportunity for you. The IRS will send you this amounts itself and for this you do not even need to get up from your chair.
