The third tranche of stimulus checks was sent to more than 169 million U.S. taxpayers in 2021. However, there is a consensus on Capitol Hill that the $1,400, the most significant stimulus amount in pandemic aid, will be the last, and there will be no more aid forthcoming.
The IRS has not sent all the checks of the third round, and another $1,400 stimulus checks will go out to eligible parents and guardians of 2021 newborns once the 2021 tax returns are filed this year.
This situation arose because the IRS sent out the $1,400 checks last year based on the returns filed for 2020, and it would not have included the babies born in 2021. Hence the check will get applied to parents' and guardians' 2021 tax returns, according to reporting by Fortune and Insider.
However, just having a baby in 2021 will not suffice for you to receive the check. Parents will have to fulfill the eligibility requirements, including their annual income. To qualify for the aid, single filers must not have an income over $75,000 per year in adjusted gross income, while couples filing jointly would need to stay below $150,000.
Parents who earn above $80,000 or a couple filing jointly earning above $160,000 will not be eligible for the stimulus checks. To avail themselves of the benefits-eligible parents will need their "Letter 6475" from the IRS when they fill out their 2021 tax return. The form details how much the taxpayer received in third-round stimulus payments.
An eligible taxpayer with a 2021 newborn, his form should be $1,400 below what he is entitled to. In other words, the $1,400 will get added to his return. The total number of pending $1,400 checks is still unclear as the IRS has not released any figures. However, it could be in millions. There were 3.61 million U.S. births in 2020, and we do not have the figure for 2021.