As policymakers discuss whether or not to offer additional aid during the COVID-19 pandemic, a fourth stimulus will remain hanging. Throughout 2021, however, a number of states have developed their own financial assistance programs and are sending stimulus check-style packages to residents.
One of these schemes involves a new $1,400 payment in the new year, but there are several requirements that must be fulfilled before the funds can be received.
We've outlined everything you'll need to know in order to be eligible for the latest stimulus payment.
For starters, many people have been wondering when another stimulus check will be issued by the federal government. Senators have been urging the government to send out more aid to citizens.
There are several scenarios in which you may be able to claim additional stimulus funds. First, if you had a baby in 2021 and claimed the child as a dependent on your 2021 tax return, you could be eligible for money.
You may also be eligible for cash if your family added a new dependent in 2021, such as a parent, grandchild, or foster child, and you declared them as a dependent on your tax return.
If you are a single filer whose income was greater than $80,000 in 2020 but less in 2021, or if you are a married couple whose income was greater than $160,000 in 2020 but less in 2021.
Finally, if you're a single filer with an income of $75,000 to $80,000 in 2020 but less in 2021, or a married couple with a combined income of $150,000 to $160,000 in 2020 but less in 2021.
These initiatives are part of the American Rescue Plan, which provided individuals and their dependent children with $1,400 stimulus cheques.
Families who had children in 2021 or added a new dependent to their tax return are eligible to receive the additional stimulus funds. Parents who had another child by Dec. 31 can claim the tax credit for newborns if the eligibility requirements are met, according to the IRS.
That means that a family with one older child and a new baby born in December 2021 might qualify for a $5,400 tax credit when they file their taxes this year.
Some Americans may not have received a $1,400 stimulus payment last year despite being eligible due to an error or the IRS not having the accurate or up-to-date information regarding a person's income.
Those who believe they should have received more money may be able to claim the Recovery Rebate Credit when they file their 2021 tax returns. They will receive the money as part of their tax refund.
