January 21, 2022

Don’t Throw Away This IRS Letter If You Want to Claim Missing Stimulation Funds on Your Taxes

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Anyone who has received a third stimulus payment will receive letter 6475 from the IRS later this month.

Angela Lang/CNET

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If you’re the type who quickly flips through the mail and throws it away, you might want to take a closer look at your mailbox: In late January, the IRS will begin issuing letters to people who may need extra incentive money.

The third Economic Impact Payments (EIP) were issued between March and December 2021, after the expiration of: the American rescue plan. With that third round of stimulus funding, the IRS sent more than 160 million checks to adults for up to $1,400 each, plus another $1,400 for dependents.

Anyone who has received a third incentive payment in 2021 will receive Letter 6475, your third economic impact payment.

Most eligible Americans have already received their full payment, but if you think you qualify and never got one — even if you don’t normally file a tax return — you’ll need Letter 6475 to file a claim. serve for a clawback discount on your 2021 tax return.

In addition, if the IRS is your third stimulus payment on your 2019 or 2020 taxes but you earned less in 2021, then you need the documentation to claim that adjusted credit as well.

Here’s how to make sure you get all incentive money for which you are eligible. Plus: see if you belong to the families that qualify for the extensive children’s discount in 2022.

Why is the IRS sending me letter 6475?

“The economic impact payment letters contain important information that can help people file their tax returns quickly and accurately,” the IRS said in a release, including personal information – such as your name and address – and the total amount sent in your third stimulus payment.

These could be “plus-up” payments – extra money the IRS sent to people who qualified for a larger amount based on their 2019 or 2020 tax returns, or information received from the Social Security Administration, Department of Veterans ‘ Affairs of the Railway Pensions Council.

You may have already received a Letter 1444-C stating how much you paid and how it was delivered, but that’s not what you want to use to prepare your 2021 return.

Do I really have to stick to the letter?

You should always keep tax return related documents, says Mark Steber, Chief Tax Information Officer at Jackson HewittW2s, interest statements, and IRS letters are a good overview of your account “just in case something happens in the next two or three years.”

“It’s always important, but especially important when you have more money due — especially if you’ve had a new baby, adopted a child, adopted a child, it’s your year for shared custody or some additional life changes,” Steber told me. NET. “All of these situations would lend themselves to an additional payment.”

What should I do with Letter 6475?

Hold it until you or your tax attorney are ready to file your 2021 federal return, then use the amount listed on your recovery discount worksheet to determine if a credit applies.

“Having the wrong amount on your return may result in a manual review”, according to the H&R Block website, which can delay a refund for weeks.

What if I can’t find my letter?

If you don’t receive (or lose) Letter 6475, you can find it on your IRS account. If you haven’t set one up, you can: create an ID.me account On the IRS website to verify your information.

For more information, here’s what to do with that IRS letter tax credit payments for your child and how to file your tax return on your phone.

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