Officials at the U.S. Internal Revenue Services has recently announced plans to distribute another round of payments on Wednesday, including additional “plus-up adjustments.”
The IRS’ recent batch of 2.3 million stimulus payments is expected to amount to a total of $4.2 billion. In July, the agency is also expected to distribute another set of payments in the form of a monthly child tax credit.
Wednesday’s batch of checks would include plus-up payments for people who previously didn’t get the correct amount of payment.
Plus-up payments
An incorrect amount of stimulus check could be due to a calculation error by the IRS, but this is not always the case. In some instances, the IRS may have calculated the payment using a recipient’s older tax form instead of the 2020 filing.
In this case, the agency will automatically calculate the third payment using the 2020 tax return to issue the “plus-up” or the missing payment. The IRS also released a tracker tool, which lets users confirm how much money they should expect to receive and whether there are potential problems related to their payments.
Fourth Stimulus Check
The new batch of payments comes as calls for another batch of stimulus checks—this time in the form of monthly payments—is growing across the nation.
According to an analysis by the Center on Budget and Policy Priorities, the national unemployment rate still stands at 5.8%. In comparison, researchers put it at 3.5% before the COVID-19 pandemic began.
This prompted some Democratic lawmakers to call for recurring stimulus payments, noting that the $1,400 checks being distributed by the IRS won’t be enough.
As of writing, experts have indicated that Congress is unlikely to send out another round of checks.
