Stimulus Checks: Why IRS Urges Certain Citizens to Return Their Money? Will You Need to Pay It?

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Many beneficiaries of stimulus checks may immediately put the funds to good use. If they don’t need help, most people can find something to do with an extra $1,400. So, why would anyone return their stimulus payment to the IRS?

One group of people is doing so because the IRS has told them to. Because they aren’t eligible for a dividend, this makes logical. Another group of Americans will return their stimulus check since they will be unable to cash it if they do not return it.

A non-resident foreigner is not eligible for the third stimulus check. Nonresident aliens are those who aren’t citizens of the United States, don’t have a green card, and haven’t been in the nation for the required amount of time.

Anyone who dies before January 1, 2021, will not be eligible for a third stimulus check. If a parent died before 2021, or if both parents died before 2021 in the event of a joint return, the extra $1,400 per dependent is also not available. There is one exemption to the normal qualifying criteria: if the deceased person was a married member of the US military, the surviving spouse is still eligible for a third stimulus check, as per Digital Market News.

Reasons why you might need to return your stimulus checks

There are various reasons why you may be required to return a coronavirus stimulus check that you have previously received. Furthermore, because it is the IRS, it may take some time for them to notice a problem and reply with the dreaded “call us immediately” letter. According to Go Banking Rates, the causes for repayment are divided into five categories and range from changes in your financial situation to IRS errors.

  1. You received an extra check by mistake

Due to the large number of stimulus checks issued, an administrative error may have happened, resulting in you receiving an extra check.

  1. Excessive earnings

The three stimulus checks were highly capped by income, and if an individual or family reached that income level, the payment was drastically reduced. Those who were not qualified for stimulus checks may have gotten them anyhow.

  1. You received a check from someone who died

The status of a departed loved one’s stimulus check is determined by when they died. Because 2020 taxes had not yet been submitted, if a taxpayer lost a loved one in 2019, the IRS may have been unaware of the death.

  1. Non-citizen

You may have gotten an incorrect check if you have been residing in the United States and paying taxes but have not yet become a citizen. This might lead to a refund request.

  1. Nonresident alien

You may be required to repay stimulus monies if you got them while working and paying taxes in the United States.

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