Will You Receive Stimulus Money if You Did Not File Taxes in the Last 3 Years?
Many people wonder if they are eligible to receive economic stimulus payments if they did not file taxes in the past three years. The answer often depends on your specific situation, and this article will provide a comprehensive guide based on the American Rescue Plan Act of 2021 and the Economic Stimulus Payments of 2020 and 2021.
Understanding Economic Stimulus Payments
Economic stimulus payments are designed to provide financial relief to individuals and families during times of economic hardship. These payments are typically distributed through tax records, but there are specific criteria that need to be met.
The IRS's Role in Determining Eligibility
The IRS (Internal Revenue Service) plays a crucial role in determining eligibility for economic stimulus payments. For the 2021 Economic Impact Payments (EIPs), the IRS used information from your 2019 or 2020 tax return, whichever was most recently filed, to determine your eligibility and calculate the amount of your payment.
However, if you did not file a tax return for either of those years, the IRS may still have been able to send you a payment if you provided them with your information through the Non-Filers tool on the IRS website. This tool allows individuals who did not file a tax return to submit necessary information to receive a stimulus payment.
Eligibility for the 2020 Economic Impact Payments
For the 2020 Economic Impact Payments, the IRS used information from your 2018 or 2019 tax return, whichever was most recently filed, to determine your eligibility and calculate the amount of your payment. If you did not file a tax return for either of those years, you still had a chance to receive a payment if you had Social Security, Railroad Retirement, or Veterans Affairs benefits. In the absence of these benefits, the Non-Filers tool was necessary to provide the IRS with your information.
Checking Payment Status and Claiming Eligibility
If you think you may be eligible for a payment but have not received one, you can check the status of your payment using the Get My Payment tool on the IRS website. If you are still unsure about your eligibility or how to claim a payment, consulting a tax professional or contacting the IRS directly for assistance is recommended.
Capturing Opportunity
If you are eligible for economic incentive payments such as the EIP and did not receive them, the easiest and fastest way to claim them is by filing a tax return. You can collect these funds up to three years after the due date of the return. So, it is important to file your taxes.
For the 2020 Economic Impact Payment, the final date to file and claim the payment is April 15, 2024, or June 15, 2024, if you live abroad. For the 2021 payment, the final deadline is April 15, 2025. Filing your taxes on time ensures you do not miss out on any potential stimulus money.
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