IRS trying to reach 9 million who haven’t collected stimulus payments

WASHINGTON » If you still haven’t received your $1,200 check, and you think you are eligible, watch out for an official letter from the IRS later this month.

It doesn’t appear the Republicans “skinny stimulus” bill is going to be passed any time soon. So, the IRS is appealing to the estimated 9 million people who still haven’t collected the first economic impact payment, which may be their one and only chance for COVID-related relief funds.

While Congress continues to debate another stimulus package to help people struggling with the financial aftermath of COVID-19, the IRS announced that it is mailing letters to millions of Americans who have not yet gone online to determine if they’re eligible for stimulus payment under the $2 trillion Coronavirus Aid, Relief, and Economic Security (Cares) Act.

People who don’t normally file a tax return or don’t receive certain federal benefits have until Oct. 15 to use the nonfilers tool at irs.gov if they want to get up to $1,200 in aid for individuals and $2,400 for married couples by the end of the year. Many might also be entitled to an additional $500 payment for each dependent child who was under 17 at the end of 2019. You don’t need earned income or a job to qualify for a stimulus payment.

The economic impact payment is an advance credit for 2020. Under the Cares Act, the payments must be made by Dec. 31. If people don’t receive the money by year’s end, they still have an opportunity to get the stimulus funds. However, they’ll have to file a 2020 federal return in 2021.

What this means: Millions of the people who most need federal assistance may never get it because they aren’t in the habit of filing a tax return.

If you filed a return for 2018 or 2019, you don’t have to use the non-filers tool. The same is true if you receive Social Security retirement, survivor or disability; Supplemental Security Income (SSI); Railroad Retirement benefits; or Veterans Affairs benefits. Payments to federal beneficiaries is automatic. If you haven’t received the money, it may be on the way. But to complicate things further, people who receive federal benefits and have children under 17 still must use the non-filers tool to claim the extra $500 stimulus payment.