What Do You Do If Your Stimulus Payment Is the Wrong Amount?

What Do You Do If Your Stimulus Payment Is the Wrong Amount?

Know that if your check fell short, such as not including payment for a dependent, you can indeed take action to receive the money that you’re entitled to.

 

The Internal Revenue Service has confirmed that millions of Americans have already received their coronavirus stimulus checks under the American Rescue Plan.

And know that more is on the way. In fact, the IRS and the U.S. Treasury recently announced that a hundred million more stimulus checks—totaling more than $420 billion—are on the way through direct deposit and traditional mail over the course of the next several weeks.

 

However, in the rush to get the stimulus money quickly out to financially struggling Americans, there are bound to be inaccuracies in the check amount—either too little or too much.

Know that if your check fell short, such as not including payment for a dependent, you can indeed take action to receive the money that you’re entitled to.

According to the IRS website, it says that “if you didn’t get any payments or got less than the full amounts, you may qualify for the Recovery Rebate Credit and must file a 2020 tax return to claim the credit even if you don’t normally file.”

The agency also advises that you keep the form you receive regarding your stimulus payment and refer to it when you file your tax return.

Meanwhile, if your stimulus check was too generous—which could occur if divorced parents both receive payments for the same dependents—the IRS says they will likely not have to pay the money back.

Per the agency’s guidance, there is “no provision in the law that would require individuals who qualify for a payment based on their 2018 or 2019 tax returns, to pay back all or part of the payment, if based on the information reported on their 2020 tax returns, they no longer qualify for that amount.”

If you do receive a physical check in the mail that has a higher amount than you are entitled to, you can always choose to write “void” in the endorsement section on the back of the check and mail it to an appropriate IRS location with a brief explanation stating the reason for returning the check. Then you would have to contact the agency to see if you can receive a new check.

In some cases, taxpayers eligible for stimulus payments have died but were still sent checks. The IRS says that spouses or relatives should return the funds to the agency.

As for the new batch of payments arriving this week, those who are still waiting after March 24 should be on the lookout for a mailed payment over the next month, the IRS noted.

 

Keep in mind that you can always log on to the IRS “Get My Payment” tool at www.irs.gov/coronavirus/get-my-payment. To use it, you will just need to enter your full Social Security or tax ID number, date of birth, street address, and ZIP code.

However, be aware that some individuals will receive a message that says, “Payment Status Not Available.” “If you get this message, either we have not yet processed your payment, or you are not eligible for a payment,” the IRS says. “We will continue to send the 2021 Economic Impact Payment to eligible individuals throughout 2021.”  

Ethen Kim Lieser is a Minneapolis-based Science and Tech Editor who has held posts at Google, The Korea Herald, Lincoln Journal Star, AsianWeek, and Arirang TV. Follow or contact him on LinkedIn.