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Here’s how the IRS will notify Taxpayers why their Stimulus Checks was less than expected

by administrator

June 29, 2021

Individuals who have yet to file their tax return and have received the previous round of stimulus checks may have been sent less than expected and, in some cases, were not sent anything at all. The good news is a recovery rebate credit on this year’s tax return will allow taxpayers to submit a claim for their stimulus funds.

The stimulus checks that were issued out over the last year for up to $1,200 for married couples and $600 per person are considered advance payments of the recovery rebate credit. Qualifying individuals are reminded that they may have not received the exact amounts that they were due.

For those who did not receive the credit or only received a portion of the amount, they can claim the credit on their tax return form – line 30 of Forms 1040 or 1040-SR. Taxpayers should state the amount of stimulus money that they have already received and calculate any additional funds that are still owed to you. The IRS provides a worksheet with the tax form or through a tax preparation software.

Once the IRS receives your return, the agency will review it to verify that the information that they received is correct. If there is a discrepancy with what you placed on your return versus what the IRS has on file, there could be a delay in processing your return and you may receive notification from the IRS via mail that corrections were made to your tax return.

Some reasons why the IRS may correct your credit amount are if you fail to provide a valid Social Security number or if you were claimed as a dependent on a 2020 tax return. If a dependent was age 17 or over as of January 1, 2020, they will not be eligible for a payment.

Optima Tax Relief provides assistance to individuals struggling with unmanageable IRS tax burdens. To assess your tax situation and determine if you qualify for tax relief, contact us for a free consultation.

Original Article

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