Jennifer Young
Community Specialist
Posted June 24, 2021

The IRS is sending more tax refund checks, will you get one?

Uncle Sam is sending some Americans additional refunds, read on to find out if you’re getting another check!
Jennifer Young
Community Specialist
Follow
28
122
Share
The IRS is sending more tax refund checks, will you get one?
Jump to section

We’ve got great news for you if you received unemployment benefits in 2020, and filed your tax return on the early side: You may find a deposit in your bank account soon, or a check in your mailbox.

In June 2021, the IRS started issuing automatic refunds to Americans who filed their 2020 return and reported unemployment compensation before tax law changes were made by the new American Rescue Plan. The agency has sent out millions of refunds in early June, and will be sending even more refund checks throughout the summer and early fall 2021.

Who can expect additional payments?

Why? It’s simple. The American Rescue Plan Act, which was enacted in March 2021, exempts up to $10,200 of unemployment benefits received in 2020 ($20,400 for married couples filing jointly) from federal income tax for households reporting an adjusted gross income (AGI) less than $150,000 on their 2020 tax return.

Because of this, for the 10 million people who filed their tax return before the plan became law, the IRS is reviewing those returns to determine if they were taxed the correct amount on their unemployment compensation – and sending them more money!

How can I verify that I'm eligible?

Think you might be eligible for a refund? You can use IRS's Interactive Tax Assistant tool to see if payments you received for being unemployed are taxable.

How are payments being distributed?

There are two phases to the IRS assessing impacted tax returns. First, they are looking at tax returns from single taxpayers who had relatively simple returns, such as those filed by people who didn't claim children as dependents or any refundable tax credits.

For the second phase, the agency is looking at and adjusting returns for more complicated returns, like married couples filing jointly and others with more complex returns.

Remember, this tax exemption applies only to unemployment benefits from 2020. So, if you receive unemployment compensation so far in 2021, you can expect to pay federal tax on the amount of unemployment you get.

28
122
Share
Jennifer Young
Community Specialist
Follow

Comments

Show Previous Comments
Mary Cornwell

I've been waiting for quite a long time

10w
Like
Reply
Mary Cornwell

I get SSI

10w
Like
Reply
Mary Cornwell

But I did work

10w
Like
Reply
Danny Danny

Danny Davis

10w
1
Reply
1 Like
Ethel Alton

I'm still waiting for my refund.by the time it gets here it wii be time to file taxes again.

10w
1
1
1 Like
Chip Bonghi

I have yet to recieve any stimulas check. Yet, my Brother, who I live with, has received every stimulas check given out by the Government. Who should I contact to correct this? Chip Bonghi

9w
Like
Reply
Denise Harmon

Still waiting for our 2019 refund.

9w
Like
Reply
Evelin Ulloa

I did my taxes and still waiting no email no letters saying why and when is coming

9w
Like
Reply
Eugenie F Kidd

I Eugenie filed in time still awaiting my refund nothing yet

9w
Like
Reply
Eric Vonsenden

Haven't worked in 4 yrs moved 1yr ago can't get benefits????

9w
Like
1
Post
Related Articles
May 6, 2021

A $3,600 "fourth stimulus" is coming for millions of Americans

Elyssa Duncan
Community Specialist
Follow
177
694
Share
6
1
Share
Mar 3, 2021

Third stimulus checks: Who qualifies for the full $1,400?

Elyssa Duncan
Community Specialist
Follow
83
435
Share
Apr 17, 2020

Where is my Coronavirus money?

Amy Carleton
Contributor
Follow
39
35
Share
Mar 22, 2021

Third stimulus changes that could get you more money

Jobcase Team
Official Account
Follow
12
8
Share
Feb 10, 2021

How to: File unemployment earnings and reduce your tax burden

Janice Reed
Community Specialist
Follow
16
6
Share
Aug 11, 2020

How to keep kids safe while sending them back to school

Ashley Wilson
Community Specialist
Follow
6
4
Share