What The Heck Is A ‘Plus-Up’ Payment – Will You Be Getting One?
I have to tell you, all of these pandemic terms drive me nuts. It started with social distancing. That wasn't terminology that was used prior to 2020 but now it's the new normal. See? There's another one!
The latest is one that I might be ale to get behind though. It's called a "plus-up" payment. According to CBS News the IRS is sending additional funds to people that didn't get their entire stimulus payments from the first 3 rounds. First thing you will need to do is file you 2020 tax return. If you haven't already.
This "plus-up" payment will be sent to those tax payers who's filing circumstances have changed in the last year or so. If you remember, the first 2 rounds of the stimulus payments were based on your 2018 or 2019 tax returns. If you had children, for example, since those filings you may be owed money or a "plus-up" payment.
CNBC reports, even if you don't normally file tax returns you will have to file in order to receive the payment through the Recovery Rebate Credit.
You must file a 2020 tax return to claim a Recovery Rebate Credit even if you are otherwise not required to file a tax return, the IRS said earlier this year.
If you haven't received stimulus money that you are owed you can claim a correction on your 2020 tax return through the "Recovery Rebate Credit," and your extra money will be sent with your tax refund. If you have received all 3 stimulus payments but are owed money, the IRS will automatically adjust your payment after you file your taxes with what's called a "plus-up" check.
As always you can check Get My Payment to track your stimulus payment.