Designed to rescue many Americans facing the devastating effects of COVID-19, the $1,400 stimulus payment was prevented from arriving for some, even though many have gotten theirs. If you are one of them, what do you think went wrong, and what can you do to resolve this?”
In this article, we are going to discuss eligibility requirements, other common causes for delays in payment, and things you can do to claim a stimulus payment that you were entitled to and have never received.
The $1,400 Stimulus Payment Explained
The $1,400 stimulus payment, referred to as the Third Economic Impact Payment, started when the American Rescue Plan Act of 2021 got into effect. This payment gives individuals and families some respite in dealing with the prevailing economic pressures.
Amount of payment:
- Up to $1,400 for each person eligible.
- Another $1,400 for each dependent qualifying.
If this payment has not come to you yet, the next step is to see whether you are eligible.
Eligibility Criteria for the $1,400 Payment
To receive the full $1,400 stimulus payment, you must meet the following:
Income Limits:
- Individual: adjusted gross income (AGI) of less than $75,000.
- Head of household: AGI of less than $112,500.
- Married couple filing jointly: AGI of less than $150,000.
The credit amount is gradually reduced for higher income amounts and is phased out completely at
- $80,000 for individuals,
- $120,000 for heads of household,
- $160,000 for a married couple.
Other Requirements:
- Must have a valid Social Security number.
- Cannot be claimed as a dependent under someone else’s tax return.
- Must be a U.S. citizen or a resident alien.
If you meet all of the above requirements and have still not received your payment, it’s time to start the investigation.
Common Reasons for Missing Payments
Here are a few common reasons that could delay or miss your payment:
- Unfiled or Unprocessed Return for 2021:
- The IRS relies on your 2021 tax return for information on eligibility and payment amounts.
- Should you not have filed your return yet or it is unprocessed, that could be the reason behind the delay.
- The IRS relies on your 2021 tax return for information on eligibility and payment amounts.
- Bank Account Information is Wrong:
- If the account details provided on your tax return were noticeable to be incorrect and outdated, there exists a possibility for a non-successful deposit.
- In this scenario, the IRS may send paper checks, which would take longer in delivery.
- If the account details provided on your tax return were noticeable to be incorrect and outdated, there exists a possibility for a non-successful deposit.
- Change of Address:
- If you’ve moved recently, a wrong address on the IRS file could cause delays for paper checks.
- Make sure you’ve updated your address with the IRS to avoid complications.
- If you’ve moved recently, a wrong address on the IRS file could cause delays for paper checks.
- Processing Delays at IRS:
- Due to the pandemic, the IRS has also been severely behind on processing and have faced much in terms of administrative hindrance.
- Such delays will now also apply to the processing of stimulus payments.
- Due to the pandemic, the IRS has also been severely behind on processing and have faced much in terms of administrative hindrance.
- Possibly an IRS error or If Payment Trace is Needed:
- Payments may sometimes get wrongly processed or may need a payment trace.
If you have any of these issues, take the steps given above to proceed.
- Firstly, check your payment status: Visit the IRS Online Account then use the “Get My Payment” tool to check for the status of your payment.
Find IRS Notice 1444-C or Letter 6475 for payment status and amount. - Review your tax return for 2021: Confirm that everything on your return is correct and complete.
Firstly, pay attention to filing status, income, and dependent information.
It would take longer for the IRS to process if you filed a paper return. - Claim the Recovery Rebate Credit: If you did not receive your payment, or it was short of what you were entitled to, you may be eligible to claim Recovery Rebate Credit on your 2021 tax return. This refundable credit increases your refund or decreases the amount of tax you owe. Complete your tax return or ask the help of an accountant.
- Call the IRS: You can get a payment trace if you are sure that your payment was issued but not received. You may call the IRS at 800-919-9835 and fill up Form 3911 (Taxpayer Statement Regarding Refund). Expect a long hold as the lines are usually busy since the calls are numerous.
Update Your Information
FILE IRS FORM 8822 (Change of Address) if your payment was sent to an old address: Update your tax return with your new bank details. Keep your info updated to avoid further delays. Troubleshooting Tips for Common Issues
- Wrong Payment Amount: Find out from the IRS letter the actual calculation of the amounts paid and eligibility for someone who checks to see if they had received anything less than what they expected.
- Payment Sent to Wrong Account: Payments sent to an incorrect account are often returned to IRS by banks for further investigations, which causes unnecessary delays.
- Recently Filed Tax Return: Have some patience until a minimum of six weeks elapses before going further on your action concerning your tax return, which was filed very recently.
- Verify Your Dependent Information: Ensure that all the dependents you are claiming on your tax return would also meet the eligibility requirements for qualifying for the additional $1,400 payment.
Key Takeaways and Next Steps
You should do the following if you haven’t received your $1,400 stimulus check: Check your eligibility based on income, residency, and dependent status; Get all your ducks in a row and review your tax return for any mistakes or missing information; Claim the Recovery Rebate Credit if necessary; Contact the IRS for a payment trace if your deposit is missing.
Updating your information immediately to prevent further delays. Following these steps proactively can ensure you get the financial support you are entitled to. For more information, you might refer to the IRS official website or a tax professional.
Staying informed and taking timely action can make all the difference in receiving your $1,400 stimulus payment without unnecessary delays.