Who qualifies for $1,400 stimulus checks? Here’s what you need to know – NBC Chicago

In the coming weeks, the Internal Revenue Service is set to send approximately 1 million taxpayers $1,400 stimulus checks, according to officials.

This money will be directly deposited into eligible individuals’ bank accounts or mailed via paper check.

The checks arrive as the IRS said it is doling out about $2.4 billion to taxpayers who failed to claim a recovery discount credit on their 2021 tax returns.

People who missed one of the COVID stimulus payments or had received less than the full amount could claim the credit.

Last week, the IRS said it discovered that many eligible taxpayers had not done so.

“When we looked at our internal data, we realized that one million taxpayers overlooked claiming this complex credit when they were actually eligible,” IRS Commissioner Danny Werfel said in a statement.

So who exactly is eligible to receive a payment and how do you know if you are expected to receive one? Here’s what you need to know.

Who is eligible to get the $1,400 IRS stimulus check?

The IRS said most taxpayers eligible for the federal stimulus payments, formally known as Economic Impact Payments, have already received them.

The special payments announced by the IRS are being sent to those taxpayers who filed a 2021 tax return but left the recovery rebate credit data field blank or entered it as $0 when they were actually eligible for the credit.

Here’s how the $1,400 IRS stimulus check works

Eligible taxpayers do not need to take any action. The payments will automatically disappear this month and should arrive by direct deposit or check in late January 2025. They will be sent to the bank account listed on the taxpayer’s 2023 return or to the address on file with the IRS.

Payments will vary, but the maximum amount will be $1,400 per person. The Ministry of Taxation has posted information online about eligibility and how the payment was calculated.

The IRS plans to send separate letters to eligible taxpayers notifying them of the special payment.

What if I haven’t filed my 2021 tax return yet?

You may still be able to receive the money. However, taxpayers must file a tax return and claim the recovery discount credit by the April 15, 2025 deadline, even if any income from a job, business or other source was minimal or nonexistent, according to the IRS.

How many rounds of COVID stimulus payments were there?

There were three rounds of payments to households affected by the pandemic, totaling $814 billion. The IRS based the amounts taxpayers received on their income, tax filing status, and the number of children or qualifying dependents.

In March 2020, eligible individuals received up to $1,200 per income tax registrar and $500 per child under the CARES Act. In December 2020, eligible individuals received up to $600 per income tax registrar and $600 per child under the Consolidated Appropriations Act. In March 2021, eligible individuals received up to $1,400 per income tax collector and $1,400 per child under the American Rescue Plan Act.