CONNOR REID
10/02/2025
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13:52
CSTThe rising cost of living and inflation are causing financial hardship for many Americans. In response, the Internal Revenue Service (IRS) has issued special payments of up to $1,400 to approximately one million taxpayers, who will benefit from a refundable credit that will be of great help to them.The IRS began in December 2024 with the automatic payment process for eligible taxpayers who did not claim the Recovery Rebate Credit on their 2021 tax return, which was a relief measure implemented during the Covid-19 pandemic, with the distribution of stimulus payments.According to the IRS, eligible taxpayers do not need to take any action to receive the refund, as they were identified in the system, so they did not have to make any claim to receive this payment. It should have already been made by direct deposit into their bank account registered on their 2023 tax return, while other taxpayers should have received a check in the mail, sent to the address registered with the IRS.The Economic Impact Payment (EIP) was distributed in three rounds by the IRS and the U.S. Department of the Treasury, but the $1,400 payment was made because many eligible taxpayers filed their tax return, but did not claim the Recovery Rebate Credit.”To make this process easier and ensure that this money goes to those who need it, we are making these automatic payments, which means taxpayers will not have to file an amended return to receive it,” said IRS Commissioner Danny Werfel in a December statement.The IRS clarified on its website that taxpayers may be eligible to claim a Recovery Rebate Credit on their 2020 or 2021 federal tax return if they did not receive an Economic Impact Payment or received less than the full amount.”It is important to understand that the Economic Impact Payments applied to different tax years. Depending on whether you did not make the first, second or third payment, you will need to file a 2020 or 2021 tax return to claim a Recovery Rebate Credit,” the IRS said in a statement.In addition, it is recommended that you check your individual IRS account to see the total amounts of your first, second and third Economic Impact Payment in the “Economic Impact Payment Information” section on the Tax Records page.However, although the IRS determined that the $1,400 refund would be automatic, if you have questions about eligibility or the status of any payment, you can use the ‘Where’s My Refund?’ tool, which has information that is updated once a day and you need to have the following information at hand:Your Social Security number or Individual Taxpayer Identification Number (ITIN)Marital statusThe exact amount of the refund on your returnClicking on Where’s My Refund? will display this information:Return received: We have received your return and are processing it.Refund approved: We have approved your refund and are preparing to issue it on the date indicated.Refund sent: We sent the refund to your bank or to you by ma