IRS Stimulus Credit deadline is April 15: What to know before time runs out

Time is running out for eligible taxpayers to claim the 2021 Recovery Rebate Credit — the deadline is April 15. While the IRS is issuing automatic payments to those who mistakenly left the credit off their 2021 returns, others must file to receive up to $1,400. Here's what to know.

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Why is the IRS issuing these payments?

The Recovery Rebate Credit was designed for individuals who did not receive some or all of their Economic Impact Payments (EIPs), also known as stimulus payments.

According to the IRS, over one million taxpayers mistakenly left the credit blank or reported $0 on their 2021 tax returns, despite being eligible.

No action is required for eligible taxpayers, who will automatically receive the payments based on IRS records.

Who is not eligible for a payment from the IRS?

The eligibility requirements to file a claim to the 2021 Recovery Rebate Credit are as follows:

1. You are a legal U.S. resident.
2. Either you or someone you claim as a dependent has a valid Social Security Number or Adoption Taxpayer Identification Number issued by the IRS.
3. You cannot be claimed as a dependent on another taxpayer's 2021 tax return.

How will I receive a payment if I am eligible?

The IRS said the payments will be directed to the bank account or address on file from their most recent tax return.

For those who haven’t filed their 2021 tax returns, there’s still time to claim the credit. The IRS said taxpayers have until April 15, 2025, to submit their 2021 returns and potentially secure a refund.

Additional information on eligibility and the calculation of the Recovery Rebate Credit is available on the IRS website. The credit does not affect eligibility for federal benefits like SSI or SNAP.

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Do you need to apply for the IRS payment?

For those who have not yet received a payment, the answer is yes. While most eligible taxpayers have already received the funds through automatic payments, eligible non-filers will have to file a claim in order to get their payment.

In order to claim the 2021 Recovery Rebate Credit, taxpayers must file a 2021 tax return by the April 15, 2025, deadline, "even if their income from a job, business or other source was minimal or non-existent," according to the IRS' website.

When can I expect to receive a payment if I am eligible?

The agency said most payments will be delivered via direct deposit or paper check by late January 2025, with recipients receiving a separate notification letter.

“The IRS continues to work hard to make improvements and help taxpayers,” IRS Commissioner Danny Werfel said. “These payments are an example of our commitment to go the extra mile for taxpayers.”

As the 2025 tax season approaches, the IRS said it plans to raise awareness about other tax credits and deductions, including the Earned Income Tax Credit, to ensure taxpayers claim all benefits available to them.