The IRS is now, but you have until April 15 to submit (here’s what you need to know about Just 24 hours after you , you can start (The IRS is asking taxpayers not to file paper returns this year if possible to help speed up the process).
It sounds simple, but there are some important ways the rules have changed between the IRS proactively sending out checks and you having to claim your payment as part of a tax credit. The new situation may help ensure that you are not missingon time – or not at all. Here’s what you need to know right now about exceptions that could interfere with your claim. (And here are details on one in front of , including , and how .) This story was recently updated.
The IRS must process your tax return before you receive any money
After you file your taxes with your Recovery Rebate Credit form, you will have to wait for the IRS to process your tax refund. If you apply for the credit and owe money, you will see either the amount of your tax refund increased or the amount of tax you owe reduced, depending on the amount of
The IRS says it issues most tax refunds within 21 days, but many people will receive theirs much sooner. We havebased on your situation.
Recovery discount Credit claims require extra work. Especially for non-filers
Unfortunately, your missing incentive money doesn’t just show up on your tax return. You must submit a form to claim your money as a Recovery Rebate Credit. We have, but the basis is:
2. When you receive your(check out our list of ), claim your Recovery Rebate Credit on 2020 Form 1040 or Form 1040-SR. The IRS offers recovery discount instructions to help you determine if you are missing a payment and for how much.
3. If you’re applying for a partial check discount, you’ll need the amount calculated from the IRS starting fromThis was called Notice 1444 for the first payment and Notice 1444-B for the second payment.
If you don’t usually have to file taxes, for example, if you receive, or if you – you should have automatically received a first and second stimulus check. But if your check never arrived (there were ), you need to file another 2020 tax return this year and claim your Recovery Rebate Credit to claim your missing incentive money. We have instructions on this
Apply for a tax extension? Prepare to wait longer for your money
You can cancel your tax return at any time beforeHowever, if you need more time, you can , moving your deadline to October 15th.
You can still claim missing incentive money through a Recovery Rebate Credit if you file your tax return with an extension, but keep in mind that this means your refund will be made later accordingly. For example, if you wait until October 15 to claim it, the earliest money you will get will be on October 22.
You may not get a check if you owe money to the IRS
Below theStarting March 2020, your first stimulus check can be used by state and federal agencies to cover child support arrears. That rule changed with the second stimulus check, which couldn’t be done like you
However, these rules are different when you are filing for missing incentive money on your 2020 tax return. For certain outstanding debts – including child support and unpaid student loans – the IRS may withhold some or all of your unpaid incentive payments issued as a chargeback credit when you file your taxes. An independent taxpayer advocacy group within the IRS is working with the agency to address this issue. (Find out
If you owe the IRS money, you may be wondering, Should I go through the trouble of applying for a Recovery Rebate Credit if the agency is going to take my money? It probably still makes sense for you to do this, as it will help you pay off your debt – even if you can’t access those funds as the laws intended.
Your stimulus check can be garnished even if you claim it because of an IRS error
There wereeven though you were eligible, including IRS errors, closed bank accounts, or changed addresses. Unfortunately, even if there was an IRS error, if you don’t have the money as one or , the IRS can claim it to cover your debts when you file it on your tax return.
This is due to a restriction that makes Recovery Rebate Credits subject to regular rules for unpaid federal taxes and certain other debts, so that the credit is treated differently from prepaid stimulus checks.
Any mistake in your third check means you have to wait until next year’s tax season to claim the missing money
Like the first and second checks, during next year’s tax season, 2022, you can claim any missing money from the third check owed to you or your family members. That is far away. The best thing to do now to make sure your third check arrives on time is to
4 Ways You Can Possibly Get Your Refund Faster
If you, probably the IRS last fall. , which the IRS suggested, you need the amount of the payment that is in the letter when you apply this year.
If you can, it can mean a faster turnaround time for your refund, if you have to pay for it. Plus, any missing incentive payments are also tied to your taxes this year, so as well as a stimulus check in one payment. You are also more likely to receive your full payment with the because the IRS your about your taxes for 2019 and 2020, according to the latest proposal (PDF) – which is not yet a law.
If you don’t have thatIf you set it up when you file your tax return, it could mean you see your refund sooner, especially if you combine it with electronic filing. The IRS has even asked taxpayers not to file paper returns as well, if possible, to avoid further delays.
If you have recently moved or are planning to relocate, this is what you need to doeven if it is temporary. Keeping your address information up to date will ensure that you receive all of your incentive checks – the possibly missing ones too – and your tax refund.
For more information, check out everything we know about aand