Jan 19, 2021
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About this Deal
Here's some good news for people who are still waiting on their stimulus cash.
In late December, lawmakers finally came to terms on a $900 billion stimulus package. It included boosted unemployment benefits, rental assistance, and a much-anticipated second round of direct payments worth $600 apiece. Those who had bank account details on file with the IRS should be sitting on that money already, as it was sent out quickly via direct deposit. Other recipients, however, may still be waiting for a check or debit card to arrive in the mail.
Earlier this year, the IRS made it clear any stimulus payments that hadn't been sent out by Jan. 15 would not be sent out at all. Those recipients would have to claim their stimulus in the form of a tax credit (known as the Recovery Rebate Credit) on their upcoming tax returns.
The IRS initially said the same applied to stimulus payments that had not gone to the correct bank accounts. Which was bad news for a lot of people who used a tax preparation service to file their taxes. The reason? The IRS sent millions of stimulus payments to the wrong bank accounts -- accounts that are no longer open or valid -- because that's the information it had on file from a number of big-name tax preparation companies.
But now, those tax preparation services are working with the IRS to get that situation corrected. As such, if you thought you'd need to wait to claim your stimulus on your tax return, you may be eligible to get your money sooner.