During the COVID-19 pandemic, millions of Americans benefitted from financial aid, including three rounds of stimulus payments distributed by the federal government. While most eligible individuals received these funds, a notable portion missed the third and final installment, which offered up to $1,400 per person.
This payment was made possible by the American Rescue Plan Act of 2021. Although it was distributed years back, the IRS remains open for eligible individuals to claim it. However, this opportunity is limited. If you did not receive the third stimulus payment or did not file a tax return for 2021, you must take action by April 15, 2025, which marks this year’s Tax Day.
Recent IRS data indicates that over 1.1 million individuals might still qualify for this payment. In total, these unclaimed funds exceed $1 billion, with many people likely unaware that they are eligible.
Third Stimulus Check and Its Eligibility Criteria
The third stimulus check aimed to provide financial support during the economic challenges stemming from the pandemic. Issued in 2021, it had stricter eligibility requirements compared to the earlier two payments.
Eligibility Criteria for the Full $1,400 Payment:
The payment amount began to diminish (or phase out) as income exceeded specific thresholds.
| Filing Status | Full $1,400 Payment If Income ≤ | Phases Out Completely At |
|---|---|---|
| Single | $75,000 | $80,000 |
| Married Filing Jointly | $150,000 | $160,000 |
| Head of Household | $112,500 | $120,000 |
- Dependents, including adult dependents and college students, were also eligible for the $1,400 payment.
- The stimulus amount was calculated based on the details provided in the 2021 tax returns.
Why Some People Missed Their Stimulus Checks?
Despite the IRS’s efforts to contact as many individuals as possible, many eligible people still did not receive their third stimulus payment. The reasons for this vary, and some of the most common include:
Not filing a 2021 tax return
Numerous individuals with minimal or no income believed they were not required to file taxes for 2021. While this might be correct legally, the IRS still necessitates a filed return to process stimulus payments. Without a return, the IRS cannot determine eligibility, resulting in no payment being issued.
Filing a return but failing to claim the Recovery Rebate Credit
The third stimulus check was linked to a specific section of the 2021 tax return called the Recovery Rebate Credit. Some taxpayers neglected this section or mistakenly left it blank, causing the IRS not to issue the payment even if they were fully eligible.
Errors or missing information on the return
In certain cases, the 2021 tax return was filed, but it contained errors or lacked necessary details, such as incorrect Social Security numbers or income figures. Such discrepancies can lead to processing delays or even prevent the IRS from approving the related credit.
What the IRS Did for Certain Filers?
To aid those who may have overlooked the stimulus despite filing their 2021 tax return, the IRS undertook a proactive initiative:
In December 2024, the IRS examined past tax return data and identified approximately 1 million individuals who qualified for the stimulus but did not claim the Recovery Rebate Credit on their returns. These individuals received:
- Automatic payments of up to $1,400.
- Payments were disbursed via direct deposit or paper check based on the taxpayer’s most recent filing information (usually from 2023).
- Most payments were sent out by January 2025.
- The IRS also issued a notice by mail to notify recipients about the payment.
However, this relief was limited to those who had filed a 2021 return. Individuals who never filed remain outside the system, and no payment can be processed unless they take action.
How to Claim the Stimulus Payment If You Never Filed?
If you think you are eligible but have not filed your 2021 tax return, claiming your stimulus check is a straightforward but urgent process. Follow these steps:
Before proceeding, it’s essential to understand that even if you had no income in 2021, you must still file a return to qualify. The IRS requires a formal filing to process the credit.
- Prepare and file your 2021 tax return using Form 1040, available on the IRS website or through most tax software platforms.
- Make sure to include the Recovery Rebate Credit on your return, which indicates to the IRS that you are entitled to the third stimulus payment.
- File your return by April 15, 2025, as this is the final date to claim any 2021 refund before the funds are handed over to the U.S. Treasury.
- If mailing your return, use certified mail to have proof of timely sending in case of any delivery issues.
- Access your IRS online account to check if you have already filed a 2021 return and see if the stimulus payment was issued.
What Happens If You Miss the Deadline?
It’s crucial for individuals to understand the consequences of missing the April 15, 2025 deadline. The IRS allows a three-year period from the original deadline to file a return and claim any refunds, including the essential refundable credits like the Recovery Rebate Credit.
Failing to file your 2021 tax return by this final date will permanently forfeit your right to claim the $1,400 stimulus payment. Additionally, any owed refund from your 2021 taxes will be forwarded to the U.S. Treasury and is no longer recoverable.
This missed opportunity may also exclude you from other benefits, such as the Earned Income Tax Credit (EITC), which can provide additional funds to your refund, even if you owe no taxes.
How to Check Your Status with the IRS?
If you are uncertain whether you received the third stimulus or filed a 2021 return, you can easily verify this through the IRS portal. Make sure to have your Social Security Number, tax filing information, and other personal identification ready before checking.
- Visit IRS.gov and create or log into your account.
- Navigate to the “Tax Records” section.
- Check for a filed 2021 tax return.
- Verify if the Recovery Rebate Credit was issued.
According to tax experts, this is the most effective and reliable way to confirm your eligibility.
If someone plans to submit their 2021 tax return as the deadline approaches, they should be aware that many free tax tools do not support older returns like 2021. It might be necessary to download and mail the form. Using certified or trackable mail is advisable for proof of timely filing. As long as the return is postmarked by April 15, 2025, the IRS will consider it filed on time.
