Over $2,800 in 2021 Recovery Rebate Credit can be claimed after $4.7 billion was unclaimed during the 2021 tax year. In this article, read and find out who will qualify to claim the rebate credits in 2025!Due to the COVID-19 pandemic, eligible recipients were able to receive stimulus checks worth $1,200 in April 2020, $600 in December 2020, and $1,400 in March 2021. Reports say in total, the U.S. federal government has issued $930 billion as part of the relief efforts for the pandemic.
However, according to Nadelle, after the Treasury Inspector General for Tax Administration reviewed the tax returns in 2021, it was discovered that $4.7 billion of the direct payments were not claimed. Further reports say most of the unclaimed or partially claimed payments came from the third wave that was distributed in March 2021.
Who qualifies for the 2021 Recovery Rebate Credit?
Fortunately, according to Basner, to date, the Internal Revenue Service (IRS) is sending out notices to 2.9 million individuals who are affected by the situation. Reports say eligible individuals could receive up to $1,400 in 2021 Recovery Rebate Credit, while eligible couples could claim up to $2,800. Furthermore, an additional $1,400 in 2021 Recovery Rebate Credit could be received by every eligible dependent.
To be able to claim the 2021 Recovery Rebate Credit, the 2021 tax return must be filed before the deadline for the tax year 2024 which is in the spring of the year 2025. Otherwise, a previously filed tax return with a Form 1040-X can be amended.