What Is EIP3 and How to Claim Missing Payments?

The third round of Economic Impact Payments (EIP3) under the American Rescue Plan provided financial relief during the COVID-19 pandemic. While most payments were issued automatically, some individuals received incorrect amounts or never received their payment.

If you believe you’re missing an EIP3 payment, there are steps to verify eligibility and claim any owed funds.

Eligibility Factors

EIP3 eligibility was based on income, tax filing status, and dependents. The IRS used the most recent tax return on file, typically from 2019 or 2020. If income or household circumstances changed in 2021, some individuals may have qualified for a larger payment than initially received.

Income thresholds determined payment amounts. Individuals with an adjusted gross income (AGI) up to $75,000, heads of household earning up to $112,500, and married couples filing jointly with an AGI up to $150,000 received the full payment. Payments phased out completely at $80,000 for single filers, $120,000 for heads of household, and $160,000 for joint filers. Even small income increases could reduce or eliminate eligibility.

EIP3 expanded eligibility to all dependents, including college students, disabled adults, and elderly parents. Dependents had to be listed on the taxpayer’s return, and changes in dependent claims between tax years could have affected the payment.

Identifying Missing Payments

To check if an EIP3 payment was issued, taxpayers could use the IRS “Get My Payment” tool, which is no longer active. Now, individuals can review their IRS Online Account to confirm payment status. If the IRS issued a payment but it was never received, it may have been sent to an outdated address or bank account.

Some payments were lower than expected due to IRS adjustments based on prior tax data. If a payment was calculated using outdated financial information, the amount may have been incorrect. A common issue involved dependents not being properly accounted for. Payments sent via direct deposit could also be rejected if the bank account was closed or incorrect, leading to a paper check being mailed.

If a payment was lost or stolen, taxpayers can request a payment trace by submitting Form 3911, “Taxpayer Statement Regarding Refund.” If the IRS determines the payment was cashed fraudulently, additional documentation may be required to receive a replacement.

Tax Filing Adjustments

To claim a missing or incorrect EIP3, taxpayers must file for the Recovery Rebate Credit (RRC) on their tax return. This credit reconciles underpayments based on updated financial or household circumstances. If the IRS issued a lower amount than expected or no payment at all, the RRC allows taxpayers to claim the difference. The credit reduces tax liability and can increase a refund.

Accuracy in reporting income, dependents, and filing status is essential. The IRS cross-references tax returns with prior payment records, and discrepancies can cause delays or audits. If a taxpayer’s AGI was incorrectly reported above the phase-out threshold, eligibility for the credit could be affected. Tax software and IRS worksheets help ensure proper calculations, but manual entry errors—such as transposing numbers or omitting dependents—can result in incorrect refund amounts.

If a taxpayer owes back taxes or has outstanding federal debts, the RRC may be reduced to cover those obligations. Unlike the original EIP3, which was generally protected from garnishment for federal debts, the credit follows standard tax refund rules and can be offset.

Documentation Essentials

Accurate records are necessary when addressing EIP3 discrepancies. Bank statements showing deposits or the absence of expected funds serve as primary proof. Taxpayers should also retain IRS Notice 1444-C, which confirmed the amount of EIP3 received. If this notice was lost, payment details can be retrieved through an IRS Online Account or a tax transcript.

For those filing a Recovery Rebate Credit due to an underpayment, a copy of the original tax return can help identify miscalculations. Differences in reported AGI, incorrect Social Security numbers, or omitted dependents can all cause discrepancies. If an amended return is needed, Form 1040-X must be submitted along with documentation supporting any adjustments, such as birth certificates for newly claimed dependents or court orders in custody disputes.

Updates Under Current Guidelines

While EIP3 distribution has ended, taxpayers can still recover unpaid amounts through the Recovery Rebate Credit. The deadline for claiming the credit follows the standard statute of limitations for tax refunds—generally three years from the original filing deadline. For EIP3, the final opportunity to claim missing funds is tied to the 2021 tax return, which must be filed or amended by April 15, 2025.

IRS enforcement efforts have evolved, particularly in cases of fraud or misdirected payments. If a payment was stolen or improperly claimed by someone else, taxpayers may need to provide additional documentation beyond a standard payment trace. Identity theft cases require filing Form 14039, Identity Theft Affidavit, and may involve further verification before a replacement payment is issued. Additionally, individuals who incorrectly received EIP3 due to outdated tax data may be required to return the excess amount, though the IRS has generally not pursued aggressive collection efforts for overpayments.