The IRS has already sent out the majority of the payments for the third round of stimulus checks. However, many still haven’t received their payment. In fact, many haven’t gotten any stimulus payment since the approval of the CARES Act in March of last year. These people can still receive their coronavirus stimulus checks, but they will need to a file tax return.
Q1 2021 hedge fund letters, conferences and more
Congress, so far, has sent out three coronavirus stimulus checks of up to $1,200, $600 and the most recent $1,400. IRS Commissioner Charles Rettig, in testimony on Capitol Hill last week, informed that the agency had sent 472 million payments since last year, amounting to more than $807 billion.
Though the IRS has already sent out most payments with the third round, it is still in the process of sending the third stimulus checks to those who qualify for the plus-up payments. The plus-up payments are for those who already got their stimulus checks of up to $1,400, but are eligible for more money on the basis of their 2020 tax return.
Also, the checks are going out to those who typically do not file taxes but did so recently to claim the stimulus money. Many, however, are still waiting for their checks, mostly those who are more difficult to reach, such as those with no bank accounts.
Recently, the IRS came up with guidance for those who may still qualify for the stimulus money, such as the homeless. As per the agency, they may still get the stimulus money even if they don’t have a permanent address or bank account. To claim the money, such people need to file a federal tax return even if they don’t usually file taxes.
Deadline to file extended tax return
Even though the IRS is working hard to reach all eligible recipients, they are unlikely to reach all. Earlier this year, it was estimated that about 8 million people who may be eligible for stimulus checks under the CARES Act, which was passed in March 2020, haven’t gotten the payment.
Such people and others can still claim the money if they file a tax return. Though the deadline to file a tax return has already passed, people can still file a tax return. If they are due any money back, then they won’t owe the IRS any late filing penalty as well. However, if they have any unpaid balance with the IRS, then they face interest or penalties on late payments.
These people have until Oct. 15, the extended federal tax filing deadline, to file a tax return and claim their stimulus money. Usually, one can claim a tax refund for up to three years of their due date. However, it isn’t clear if the same applies to the stimulus checks. The IRS hasn’t come up with information on the process to claim the stimulus checks after the Oct. 15 deadline.
