The Internal Revenue Service is encouraging tax filers who have not claimed coronavirus-era tax credits to do so before a looming deadline.
In May 2024, the tax credits put in place during the coronavirus pandemic will no longer be available, and anyone who has not filed a tax return in 2020 will be unable to claim theirs if they do not take action in the coming weeks.
The credit is available to eligible tax filers who did not receive Economic Impact Payments, or stimulus checks, during the height of the pandemic.
Economic Impact Payments were issued in three rounds of advance payments during 2020 and early 2021. They can be claimed as part of Form 1040, the individual income tax return.
If you did not receive any of the Economic Impact Payments, which were worth a maximum of $1,200 for individuals or $2,400 for married couples, you must file Form 1040 or Form 1040-SR to claim the Recovery Rebate Credit, even if you have little to no income and are not required to fill out a tax return.
Newsweek has contacted the IRS for comment via email outside of normal working hours.
When Do I Need to File By?
The deadline for those who have not yet filed for 2020 is May 17-a little over two months away and exactly three years after the original filing deadline in 2021. If a tax return is not filed by May 2024, the Recovery Rebate Credit can no longer be claimed.
Anyone who has not filed for 2021 has until April 15, 2025, to complete and file their tax return.
Who Can Receive the Recovery Rebate Credit?
The following people are eligible for the Recovery Rebate Credit:
- U.S. citizens, green card holders, or qualifying resident noncitizens
- Anyone not the dependent of another taxpayer
- Holders of a valid Social Security number
According to information published by the IRS when the stimulus check program was announced, tax filers with an adjusted gross income of up to $75,000 for individuals and up to $150,000 for married joint filers can receive the full payment. For filers with an income above those figures, the payment amount is reduced by $5 for each $100 above the $75,000 and $150,000 thresholds. Single filers with an income above $99,000 and joint filers with an income above $198,000 who do not have children cannot claim.
The IRS also outlines that the 2020 Recovery Rebate Credit can be claimed for someone who died in 2020 or later, although a time frame has not been specified.
There is also no penalty held against any tax credits or refunds for late filers. The IRS recommends opting for a direct deposit into your account to receive the funds quickly.
In its press release, the IRS said it will provide more detailed information for each state later in March.
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This story was originally published March 5, 2024, 3:49 AM.
source: star-telegram
