Millions of eligible U.S. taxpayers are set to receive a $996 stimulus payment in 2025 as part of the Recovery Rebate Credit.
This payment is not a new stimulus check, but rather a way to provide funds to individuals who missed out on previous Economic Impact Payments (EIPs).
To ensure you receive this payment, it’s crucial to file your 2024 tax return on time and update your direct deposit details with the IRS.
Let’s break down who qualifies, how payments will be distributed, and what you need to do to claim your $996.
Key Details About the $996 Stimulus Payment
| Category | Details |
|---|---|
| Payment Amount | $996 stimulus payment |
| Who Qualifies? | Taxpayers who missed out on prior Economic Impact Payments |
| Payment Method | Direct deposit or paper check |
| Filing Requirement | Must file 2024 tax return by April 15, 2025 |
| How to Claim? | File your tax return, update direct deposit info |
| Official Source | IRS Website |
What Is the $996 Stimulus Payment?
This $996 stimulus payment is part of the Recovery Rebate Credit (RRC) program. The RRC ensures that eligible taxpayers who didn’t receive their full stimulus payments in 2020 or 2021 can still claim the money owed to them.
If you were entitled to a stimulus payment in the past but did not receive it due to filing errors, missing tax returns, or other issues, the IRS will send you this $996 automatically after processing your 2024 tax return.
Who Qualifies for the $996 Stimulus Payment?
To qualify for this payment, you must meet the following criteria:
- Missed Prior Stimulus Payments – If you didn’t receive the full Economic Impact Payments (stimulus checks) from 2020 or 2021, you may be eligible for the rebate.
- U.S. Citizenship or Resident Alien Status – You must be a U.S. citizen or legal resident.
- File Your 2024 Tax Return – Even if you had no income, you must file a tax return to claim the payment.
- Meet Income Limits – Eligibility is subject to income limits similar to previous stimulus checks.
- Single filers with incomes above $75,000 may receive a reduced amount.
- Married couples earning over $150,000 may not qualify.
How Will the $996 Stimulus Payment Be Sent?
The IRS will issue payments through two main methods:
- Direct Deposit – If you previously provided your banking information to the IRS, the payment will be automatically deposited into your account.
- Paper Check – If the IRS does not have your banking details, a check will be mailed to your registered address.
To avoid delays, make sure your banking and mailing details are up to date with the IRS.
Steps to Claim Your $996 Stimulus Payment
To ensure you receive your stimulus payment, follow these simple steps:
Step 1: Gather Your Documents
- W-2s, 1099s, or other income documents.
- Proof of tax deductions (if applicable).
- Direct deposit information (if you want a faster payment).
Step 2: File Your 2024 Tax Return
- File online for a faster refund. The IRS recommends using Free File or authorized tax software.
- If you earned below a certain threshold, you may qualify for free tax preparation services.
Step 3: Claim the Recovery Rebate Credit
- While filing, check for the Recovery Rebate Credit to ensure you receive the payment.
- This step is crucial if you were eligible for past stimulus payments but never received them.
Step 4: Double-Check Your Information
- Ensure your bank account details and mailing address are correct to avoid delays.
Step 5: Submit Your Tax Return
- E-file for faster processing.
- If you’re filing by mail, send it to the appropriate IRS address based on your state.
Step 6: Track Your Payment
- Use the “Where’s My Refund” tool on the IRS website to track the status of your refund and stimulus payment.
Common Misconceptions About the $996 Payment
1. It’s Not a New Stimulus Check
This payment is not part of a new stimulus package—it is a way for eligible taxpayers to claim money they were previously owed.
2. No Extra Action Needed for Most People
If you qualify, you don’t need to apply separately—simply file your 2024 tax return and the IRS will automatically process your payment.
3. The Amount May Vary
While $996 is the maximum payment, some taxpayers may receive less based on their income and tax filing status.
Why This Payment Matters
For many Americans, this $996 stimulus payment will provide essential financial relief. It ensures that people who missed out on past stimulus checks due to filing issues or income miscalculations still get the money they deserve.
The Recovery Rebate Credit is part of the government’s ongoing effort to ensure fairness and financial support for eligible taxpayers.
The $996 stimulus payment in 2025 is a valuable benefit for taxpayers who were owed past stimulus funds. To receive your payment, make sure to file your 2024 tax return before April 15, 2025 and update your banking details with the IRS.
For official updates, visit the IRS website.
