Stimulus checks and pandemic aid make it even more important to file a 2020 tax return

Washington CNN — Low-income Americans who aren’t usually required to file taxes could be leaving a lot of money on the table if they don’t file a 2020 return thanks to changes made by the latest pandemic relief package. Plus, the expanded child tax credit means that families could be sent more money this summer – but only if they file a return. Claim a missing stimulus check, or extra cash The federal stimulus money sent to millions of Americans over the past year is tax-free, but filing a 2020 return could help the estimated 8 million people who may have been eligible for a payment but missed out because the IRS had no way of reaching them. Because stimulus checks were calculated using 2018 or 2019 income, those who lost their job in 2020 or otherwise saw their income fall from the year before may be able to claim some extra cash on their return and receive what the IRS is calling a “plus-up payment.” Families could be eligible for more cash this summer There are some people who might not be required to file a tax return but are eligible for a refund if they qualify for the child tax credit. The latest pandemic aid package increased the size of the child tax credit and called for it to be sent out in periodic payments that will begin to go out this summer.