The IRS is set to send up to one million payments of up to $1,400 to eligible taxpayers who have not claimed a COVID-related rebate credit.
According to a press release, payments will be made to taxpayers who did not claim the Recovery Rebate Credit on their 2021 tax return.
The IRS says the credit was intended for people who did not receive one or more Economic Impact Payments, or stimulus payments, during the COVID pandemic. In total, three rounds of payments were made to taxpayers based on various factors, including income, filing status and number of dependents.
Taxpayers do not need to take any action to receive their payments. Payments will be released in December and will either be made by direct deposit or sent by paper check. Taxpayers will also receive a separate letter alerting them of the payment.
IRS Commissioner Danny Werfel said more than 1 million taxpayers have not claimed the payment even though they were eligible.
“To minimize headaches and get this money to eligible taxpayers, we are making these payments automatic, meaning these individuals will not have to go through the lengthy process of filing an amended return to receive it,” he declared.
The maximum payment is $1,400 per person, and approximately $2.4 billion is expected to be paid to eligible taxpayers.
More information can be found on the IRS website.
