IRS Announces Final Round of $1,400 Pandemic Payments to 1 Million Taxpayers

 

The U.S. Internal Revenue Service (IRS) has unveiled a final wave of $1,400 payments for approximately 1 million taxpayers who missed out on claiming funds under the 2021 Recovery Rebate Credit program. This marks what could be the last installment of pandemic-era stimulus payments.

In an official advisory, the IRS described the payments as a "special step" following a review that identified eligible taxpayers who had not received one or more Economic Impact Payments (EIPs), often referred to as stimulus checks.

These disbursements will total an estimated $2.4 billion and are part of the broader federal response to the economic challenges caused by the COVID-19 pandemic.

Between April 2020 and December 2021, the U.S. government issued three rounds of EIPs, amounting to a combined $4,500 per individual. These payments were part of a larger $931 billion relief effort spearheaded by the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which allocated $1.8 trillion to address the public health and economic fallout of the pandemic. Additional funding was distributed through subsequent relief packages.

The IRS confirmed that eligible individuals would not need to take any action to receive their payments, which will be sent via direct deposit or checks. Delivery is expected by late January 2025.

“The IRS continues to work hard to make improvements and help taxpayers,” said IRS Commissioner Danny Werfel. “These payments are an example of our commitment to go the extra mile for taxpayers.”

While the payments aim to assist Americans, federal authorities are also pursuing cases of pandemic relief fraud. The Justice Department’s COVID-19 Fraud Enforcement Task Force (CFETF) reported in April that over 3,500 defendants had been charged in connection with more than $2 billion in fraudulent claims, with $1.4 billion in funds recovered.

Attorney General Merrick Garland emphasized the importance of continuing these efforts. “Our work is not over,” he stated. “We will investigate and prosecute pandemic relief fraud and recover assets stolen from American taxpayers.”

Deputy Attorney General Lisa Monaco has called for extending the statute of limitations on pandemic fraud cases, citing the need to recover additional funds, bring perpetrators to justice, and dismantle criminal networks exploiting relief programs.

This final round of payments represents a conclusion to the direct financial aid provided during the pandemic, highlighting the dual priorities of aiding taxpayers and addressing fraud tied to the massive relief efforts.