Millions of American citizens could still be due a third federal stimulus cheque, which was permitted under the American Rescue Act in 2021 and amounts to $1,400 per qualifying citizen.
As per a new study from the Inspector General of the Treasury Department’s Tax Administration, about 645,000 presumably people who are eligible had not received a subsequent stimulus check by the middle of September 2021. Some of those people received checks after September. However, the report doesn’t say several have received payouts since then.
The total amount of outstanding stimulus payments is estimated to be $1.6 billion, according to the Treasury Department. The IRS has sent paychecks to over 175 million Americans as part of the third wave of economic payments. Some people, however, may have slipped through the gaps, and the existing tax season may present them with an opportunity to seize the unpaid bill, reports CBS News.
IRS’s Statements
The IRS said on March 30 that first-, second-, and third-round incentive checks would no longer be issued. However, taxpayers who missed a check or didn’t receive the full amount due can reclaim the additional payment as a Recovery Rebate Credit on their federal tax return in 2020 or 2021, according to the IRS.
Some households that welcomed a new kid in 2021, for example, may not have earned the third stimulus payment. The IRS wouldn’t even have known about kids born or fostered in 2021 if it had relied on the preceding year’s taxable income to screen applicants.
Additionally, some persons whose earnings fell in 2021 may be eligible for additional stimulus funds. Because the payments were phased out at specified income levels — such as $160,000 for married people — persons whose earnings fell below that level in 2021 may be eligible for more money.
The Left Out Ones
Consumers with an ITIN — Independent Individual Unique Identifier — who did not get a payout for a qualifying dependent make up the majority of those who did not receive the $1,400 payment they were due, according to Treasury. According to the research, almost 420,000 individuals in this classification had not received their paychecks as of last October.
Workers who do not have a Ss Number but are obliged to disclose taxes often utilise ITINs. Families with ITNs who do have youngsters with a valid Ssn may be eligible for reimbursement underneath the American Rescue Plan.
