How to Claim Your Stimulus Money Through Taxes
I didn't receive mine through deposit or mail, now what do I do?
The IRS has said that all of the stimulus checks, or "economic impact payments" have been sent out. In total, more than 160 million checks — $1,200 for adults and $500 for children — were sent out for the first batch of stimulus payments. December of 2020 saw another 147 million payments for the second round of checks, which offered $600 for each eligible adult or child. In total, the IRS has distributed more than $410 billion in stimulus funds, with more reportedly on the way by way of a third stimulus check.
Because the IRS sent out the checks using 2018 and 2019 tax returns as a basis to figure out whether you were eligible or not, that means they also used the address used on your 2019 tax return. Some of us have changed addresses since then, and as a result, didn't receive the mailed check. So now what do you do?
Step one would be figuring out how much of the stimulus money you have received. If you have yet to receive one or both payments, then you'll need to claim the missing funds on your 2020 tax return.
The IRS has said that tax refunds typically arrive within three weeks, so get cracking on it! The IRS also calls the stimulus checks "recovery rebate credits" on its tax forms. The stimulus checks were actually tax rebates that the IRS paid in advance of filing your taxes. Taxpayers will have until April 15th to file their taxes according to the IRS.
The IRS published a Recovery Rebate Credit Worksheet, which will ask questions about your income amd how much you've received from the checks thus far. If you are owed more, you can enter the amount on line 30 on IRS form 1040. If you don't remember how much you've received, you can view your account on the IRS official website.
The stimulus money you haven't received, will be included in your tax refund.
Congress could potentially have a third stimulus check being released in the next several weeks and tax season is already upon us. If you've lost income in 2020, you'll want to file as soon as possible to ensure you receive the right amount in the next stimulus check. You don't want the IRS relying on your 2019 tax information if you've lost money, otherwise you'll have to wait till next tax season to receive your stimulus check.