The coronavirus outbreak forced many businesses to close and millions of people to lose their jobs. To help Americans stay afloat, the government issued a $1,200 stimulus payment to eligible taxpayers. Plus, an additional $500 per qualifying child. Payments were based on the information on your 2018 or 2019 tax return, whichever was most recent. If you didn’t receive a payment or the amount was incorrect, you may be able to claim the additional funds when you file your 2020 tax return. Here are some ways you can qualify for the credit in 2021.
You were a dependent in 2019 but now you take care of yourself
As a college student, your parents can claim you as a dependent until you’re 24 years old. Unfortunately, this makes you ineligible for your own stimulus check. To make matters worse, your parents won’t receive a $500 payment for you either due to your age. However, let’s say you became financially independent this year. You graduated, got a good paying job, and no longer rely on your parents or anyone else for support. When you go to file your 2020 tax return, you’d now be able to claim the $1,200 payment you originally missed.
You welcomed a new baby into the family
A lot can change in a year or two. Maybe you got married and had a baby since filing your 2018 or 2019 tax return. If your party of two became a party of three in 2020, your economic income payment probably didn’t include additional funds for your child. No worries. When you list the child as a dependent on next year’s tax return, you can claim the $500 you’re owed. ezTaxReturn.com makes it easy to get every tax break you deserve. You’ll get 100% accurate results and the biggest possible refund, guaranteed.
You experienced a job loss or took a pay cut this year
Although there was no minimum income requirement to qualify for a payment, there is such a thing as making too much money. If your adjusted gross income exceeded $75,000, your payment was reduced by 5% of the amount you’re over. Those who earned more than $99,000 didn’t qualify for a payment at all. Since millions of people are now dealing with pay cuts and job losses, you may have earned less money in 2020 than you did in prior years. If your income falls below the threshold, you may now be eligible for the full $1,200 or at least a partial payment when you file your taxes.
You’re a non-filer who has qualifying children to claim
Not everyone is required to file a tax return. Social Security, Railroad Retirement and Social Security Disability Insurance (SSDI) recipients all received automatic payments for themselves. If you have qualifying children and didn’t register them using the Non-Filers tool, you weren’t credited for your dependents. To receive the additional funds, you’ll need to file a tax return in 2021. The fastest and easiest way to do your taxes is with ezTaxReturn.com. With our simple step-by-step guidance, you can prepare and e-file in just 30 minutes.
