Claman Countdown panelists Peter Schiff and Andy Brenner reveal how the markets are reacting to the Fed meeting.
this Internal Revenue Service (IRS) Announced plans to issue automatic payments to eligible taxpayers who did not claim the rebate credit on their 2021 tax returns.
IRS officials announced the move on Dec. 20, saying the payments would be made automatically before the end of December. It follows the agency's analysis, which has found approx 1 million taxpayers They did not claim the pandemic credit on their 2021 return when they were eligible for it.
“The IRS continues to work hard to improve and help taxpayers,” IRS Commissioner Danny Werfel said in a statement. “These payments are an example of our commitment to doing more for taxpayers.”
“Looking at our own internal data, we found that one million taxpayers failed to claim this complex credit when they were actually eligible,” Werfel said. “To minimize the headache of getting this money to eligible taxpayers, we're making these payments automatically, which means they don't have to go through the extensive filing process to get it.”
IRS Raises 401(K), Other Retirement Plan Contribution Limits for 2025
The IRS will send refund rebate credit payments to eligible taxpayers this month. (Photo by Spencer Platt/Getty Images) / Getty Images)
Most taxpayers who qualify for a recovery discount credit or one or more stimulus payments (EIP), also known as stimulus payments, have already received these credits and payments. Credits and stimulus payments were created in response The covid 19 pandemic.
Special payments announced by the IRS for eligible taxpayers who file a 2021 tax return with the data field for Recovery discount credit Leave blank or fill in as $0 when the taxpayer was eligible for the credit.
Taxpayers who did not claim the credit or part of it on their 2021 tax return are expected to receive a refund from the IRS by late January 2025. This payment will be sent to the bank account listed on the taxpayer's 2023 tax return. or to their record address.
DOGE can create a mobile app for tax filing: report
Internal Revenue Service Commissioner Daniel Werfel said the agency found that about 1 million taxpayers who were eligible for the rebate did not claim it on their 2021 tax returns. (Tom Williams/CQ-Roll Call, Inc. via Getty Images) / Getty Images)
Recovery rebate credit amounts to be paid vary based on several factors, although the maximum payment is $1,400 per person. The IRS estimates that the total amount Payments to be distributed It is approximately $2.4 billion.
The IRS will issue a letter to taxpayers who receive their 2021 refund rebate credit payment. If the taxpayer has closed the bank account associated with the 2023 tax return since filing, taxpayers do not need to take any action because the bank will return the payment to the IRS, which will reissue the refund to the taxpayer's address of record.
Get FOX Business on the Move by clicking here
There is also a deadline in the first half of 2025 for taxpayers who have not filed their 2021 tax return, as they must file by April 15, 2025 to still receive the recovery rebate credit they are eligible for. .