CHILLICOTHE, Ohio — The Internal Revenue Service is distributing approximately $2.4 billion to about 1 million taxpayers who did not receive their COVID stimulus payments. These taxpayers will receive special payments of up to $1,400 by the end of January.
The payments are for those who did not claim the Recovery Rebate Credit on their 2021 tax returns. This credit is for individuals who missed one or more Economic Impact Payments, known as stimulus payments, issued during the COVID-19 crisis.
The IRS identified that many eligible taxpayers overlooked claiming this credit when filing their 2021 taxes. The payments are automatic, eliminating the need for these taxpayers to file an amended return.
Eligible recipients are those who left the Recovery Rebate Credit field blank or entered $0 on their 2021 return while qualifying for the credit. Payments will vary with a maximum of $1,400 per person.
The IRS will notify eligible taxpayers with letters, and payments will be issued via direct deposit or check, using the bank details or address from the 2023 tax return. Taxpayers who have not yet filed for 2021 must do so by April 15, 2025, to claim the credit.
Three rounds of stimulus payments were issued during the pandemic, totaling $814 billion, with amounts based on income, filing status, and number of dependents.