Last chance to claim your missing third stimulus payment – Forbes Advisor

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If you haven’t received your third stimulus payment, or you’ve received a partial amount and are entitled to more, the IRS is giving you another chance, but time is running out to claim it.

In January, the IRS announced that all third stimulus payments had been issued. But some taxpayers can still claim the payment on their 2021 tax return. The deadline for filing your 2021 taxes is April 18.

More than 175 million third stimulus payments, totaling more than $400 billion, have been sent as of March 2021 under the American Rescue Plan Act.

How to claim your missing third stimulus payment on your 2021 tax return

You will need to claim any missing third stimulus payments on your 2021 tax return by claiming the clawback tax credit.

This is the case if you received a partial amount (less than the full stimulus payment amount of $1,400) or if you were not previously entitled to the third stimulus payment.

Let’s say you’re single and your income for the 2020 and 2019 tax years exceeds the threshold (which we’ll talk about later). However, you lost your job in 2021, so your income has dropped significantly. You can now claim the clawback rebate tax credit since your income has fallen below the threshold.

Families who have added dependents (for example, you had or adopted a child) can also claim the credit.

Also, a few persistent taxpayers who file taxes using ITIN may not have received payments for their eligible dependents who have Social Security numbers.

You must complete the Recovery Refund Tax Credit Worksheet and submit it with your 2021 tax return. If you use tax software, it should guide you through the process. Keep in mind that the IRS predicted a frustratingly slow tax season this year, so file as soon as possible.

Before completing the worksheet, you need to know the amount of any third stimulus payment received for you, your spouse, and any dependents. The worksheet will also ask for your Adjusted Gross Income (AGI) for the year to determine your eligibility.

If you are unsure of the amount of your third stimulus payment, you should review your IRS online account or use the Get my payment application. You can also check your Notice 1444-Ca letter sent by the IRS to the recipients, which indicates the third amount of the stimulus payment for 2021.

Theirs started sending letter 6475 to taxpayers in January—the letter confirms the total amount of third stimulus payments received for the 2021 tax year.

After determining the exact amount of your salvage refund credit, you will need to report it on line 30 of your 2021 tax return.

Unlike direct stimulus payments, where payments were issued directly by the federal government to eligible individuals, the Recovery Rebate Tax Credit will reduce taxes owed or increase your tax refund.

What to do if you can’t find your dunning check

If your IRS online account shows that you should have received a stimulus payment, but you have not received it, it is possible that it was lost in the mail. Or you may have thrown away the prepaid debit card you received.

If you lost your stimulus check or think it was stolen, you can ask the IRS to trace your payment. If the IRS determines that your check has not been cashed, it will credit your account. They cannot reissue your payment, but you can claim the payment on your 2021 tax return using the Recovery Refund Tax Credit Worksheet.

If a trace is initiated and the IRS determines that the check has not been cashed, the IRS will credit your account for that payment. However, the IRS cannot reissue your payment. Instead, you’ll need to claim the 2021 recovery rebate credit on your 2021 tax return if you’re eligible.

If you lost your EIP card, a prepaid debit card on which some people received their stimulus payment, contact the MetaBank card issuer to request a replacement.

Who is eligible for third stimulus payments?

Generally, if you are a US citizen (or US resident alien) and are not a dependent of another taxpayer, you are eligible for the third full stimulus payment. In addition, your adjusted gross income (AGI) cannot exceed:

  • $150,000 for a married joint filing
  • $112,500 for heads of families
  • $75,000 for single filers

A partial payment may be available if your income exceeds the thresholds. However, you will not receive any payment if your AGI is at least:

  • $160,000 for marriages filed jointly
  • $120,000 for heads of families
  • $80,000 for single filers

The total amount of the third stimulus payment is $1,400 per person ($2,800 for married couples filing joint taxes) and an additional $1,400 for each eligible dependant.

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Elaine R. Knight