UPDATE 11/2/2020- November 10, 2020 is “National EIP Registration Day,” a day for the IRS and it’s partners to reach out to people who do not normally file their taxes about the possibility of an economic impact payment. According to the IRS, nearly nine million people will receive a letter with information on how to register on their website to claim a payment because some non-filers may qualify for a payment. The deadline to claim a payment is November 21, 2020.
If anyone receives a letter from the IRS, it is legitimate. They should either call the IRS directly at 800.919.9835 to register, or visit IRS.gov/EIP. However, if anyone receives a text, email or phone call from someone claiming to be with the IRS and wants to help you with your payment, it is probably a scam. Consumers should hang up, not respond, and not click on any links or attachments. The IRS will not text, email or call about an economic impact payment. They will also never ask anyone to pay a fee to get their money.
To learn more about stimulus payments, visit the IRS website.
This article was originally posted on April 20, 2020
The IRS has started distributing stimulus check payments to the nearly 140 million Americans that are eligible. While many have received their stimulus payment through direct deposit, according to CNN, 60 million Americans are still waiting for their money.
The IRS created a portal in hopes that people would be able to check the status of their stimulus check payment. However, due to overload and glitches being worked out, the website has not worked for everyone.
One reason why people might not have received their stimulus check payment is because they are victims of tax identity theft. However, there are many other reasons why people might not have received their payment that they should explore first:
1. People who are not normally required to file a tax return. Individuals who make less than $12,200 a year (or less than $24,400 for married couples) are generally not required to file a tax return. For the process of receiving a stimulus check payment, these people have to enter their information into a new IRS portal to get their money.
2. Someone’s refund went to a temporary account that was set up by a tax preparer. According to a report by WALA-TV, when people use tax preparation services, sometimes a temporary account is set up to handle the transactions, which could lead to a longer wait for a stimulus check payment.
3. Not everyone got a federal tax refund in 2018 or 2019. Some consumers did not get a refund after their last two tax filings. In fact, if someone owed taxes the last two years, they could still qualify for the stimulus. Only consumers who received a refund from the IRS to a direct deposit account will be processed for stimulus direct payment.
4. Some people’s refunds might have gone to an old bank account. This could happen if someone filed their 2018 tax return with bank account formation that is no longer valid and has yet to file a 2019 tax return. For people who have not filed their 2019 tax returns, the IRS is using information from their 2018 tax refunds.
5. Some people might have filed a paper return in 2019. People who filed their taxes with paper returns will mostly receive their stimulus check by mail because the IRS has stopped processing paper returns until they can reopen their centers.
6. It has been seized by a private debt collector. If someone owes money for private student loans, credit cards or medical bills, their stimulus check could be at risk. The CARES Act does not restrict private debt collectors from taking the check to pay off debt.
7. If there is anyone who does not fall under any of the categories listed above, they could be a victim of tax identity theft. The Identity Theft Resource Center (ITRC) is receiving calls and live chats from victims claiming their stimulus checks were intercepted. According to the Treasury Inspector General for Tax Administration, the agency has already begun to see scammers pose as the IRS to get personal information from payment receipts they can use to steal money. While the IRS Criminal Investigation Unit is doing what they can to combat the problem, they have seen scams that are preying on vulnerable individuals who are not sure how they will get their stimulus check payment.
To avoid falling victim to tax identity theft due to the stimulus check, consumers are urged to not respond to any messages they receive that they are not expecting. Instead, they should contact the company, organization, or entity directly to verify the validity of the message. Also, it is important for people to stay informed about what is happening. The IRS will not contact anyone asking for personal information. If someone receives a phone call, email or text message claiming to be the IRS, it is probably a scam.
If anyone thinks their stimulus check landed in the hands of a thief, they can visit IdentityTheft.gov to get started on a personal recovery plan.
If someone believes they are a victim of tax identity theft, they can live chat with an ITRC expert advisor. They can also call toll-free at 888.400.5530. Callers are encouraged to leave a message due to advisors working remotely. However, they will return calls as quickly as they can.
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