Unclaimed Stimulus Checks – What You Can Do to Claim Your Missing Funds

If you think you’ve missed out on claiming one of the stimulus checks issued during the COVID-19 pandemic, think again. Although most individuals have already received their payments, many people still have a chance to claim what they’re owed. Whether you didn’t get the full amount or didn’t receive any payment, you can still recover your stimulus funds through the Recovery Rebate Credit (RRC).

The U.S. government issued multiple rounds of stimulus payments during the pandemic under both the Trump and Biden administrations. Despite the widespread distribution of these payments, some individuals didn’t receive their rightful amounts. Here’s how to check your eligibility and claim any missed payments.

Eligibility

To qualify for the Recovery Rebate Credit, you must be someone who either didn’t receive one or more of the stimulus checks or received less than you were entitled to. These credits can be claimed on your federal tax returns for the 2020 or 2021 tax years, depending on which stimulus payment you missed.

The IRS explains that the first and second rounds of stimulus checks were essentially advance payments of the 2020 Recovery Rebate Credit. These payments should have been reflected on your 2020 tax return. Meanwhile, the third round of payments, issued starting in March 2021, were an advance on the 2021 Recovery Rebate Credit.

Steps to Claim the Credit

Claiming the Recovery Rebate Credit isn’t complicated, but it does require some attention to detail. First, gather the exact amounts of the Economic Impact Payments you’ve received so far. Knowing these figures is essential for calculating the credit properly and avoiding mistakes on your tax return. Any errors could delay your claim as the IRS would need extra time to process it.

You’ll then calculate the Recovery Rebate Credit by entering the amounts of your stimulus payments into your tax preparation software or filling out the Recovery Rebate Credit Worksheet included with Form 1040. This step ensures that your credit is calculated accurately.

Full Amount

If you’ve already received the full amount of the third stimulus payment, you don’t need to do anything special when filing your 2021 tax return. But if you received less than the full amount or didn’t qualify for the payment at first, you might still be eligible for the 2021 Recovery Rebate Credit.

This credit will be based on your 2021 tax year financial details. If part of the payment is missing, the credit will either reduce the taxes you owe or boost your refund. Be sure to file a tax return to claim this credit, even if you typically don’t file taxes.

Documents You Need

To smooth out the process, gather all necessary documentation before filing your claim. The IRS recommends having Letter 6475, which outlines the amounts of the third Economic Impact Payment you received. This letter was sent at the start of 2022, but if you don’t have it, you can also check your IRS Online Account to verify your payment history.

It’s essential not to include the amounts from the first two stimulus checks on your 2021 return. If you’re missing any of those earlier payments, you’ll need to file for the 2020 Recovery Rebate Credit on your 2020 tax return instead.

Filing Your 2021 Tax Return

To claim the 2021 Recovery Rebate Credit, your best bet is to file your tax return electronically. This simplifies the process, ensures accuracy in calculating your credit, and speeds up the entire procedure. Additionally, if you’re owed a refund, you can opt to have it directly deposited into your bank account or onto a prepaid debit card.

Direct deposit is fast, secure, and efficient. All you need is your bank account number and routing number, and the money will be transferred directly to your account.

If you missed out on your stimulus payments, don’t let the opportunity slip away. By following these steps, you can still get the funds you’re entitled to.

FAQs