Recent months have seen a lot of confusion regarding stimulus payments in California, with conflicting reports leaving residents uncertain about what to expect from the Internal Revenue Service (IRS).
Some reports have claimed that there is money ready to be handed out to residents, while others have denied this, advising people not to rely on the supposed stimulus.
One report even claimed that a cash pot of 125 million dollars was ready to be distributed to California residents, excluding the wealthiest people. It suggested that 624,000 residents had not yet claimed their share of the money.
No Stimulus Checks on the Way
However, in May, Fast Company provided clarity on the matter, explaining that there is no new stimulus money coming from the IRS or the State of California.
The confusion appears to stem from a spike in websites falsely claiming that more stimulus checks are on the way. Given that many Americans would welcome a stimulus check, these rumors have gained traction.
Fast Company clarifies: “The federal Economic Impact Payments ended with the third check in 2021. Taxpayers who never received them could still claim them as a recovery rebate credit, but only for the tax year in which they were issued. ‘The IRS is no longer issuing third Economic Impact Payments,’ the agency clearly says on its website.”
This statement reinforces that any potential stimulus payments are not forthcoming, putting to rest any expectations for additional checks from the federal government or the state.
The Current Situation
The federal Economic Impact Payments, which were distributed as part of the COVID-19 relief efforts, concluded with the third round in 2021. Taxpayers who did not receive these payments can claim them as a recovery rebate credit, but this is only applicable for the tax year when they were issued.
The IRS has made it clear that no further Economic Impact Payments will be issued, and any rumors to the contrary are unfounded. This has been reiterated on the IRS website, which states, “The IRS is no longer issuing third Economic Impact Payments.”
Conclusion
In conclusion, despite the rumors and misinformation circulating online, there are no new stimulus payments on the way for California residents. The economic relief measures provided through the federal Economic Impact Payments have concluded, and any remaining unclaimed funds can only be accessed through the recovery rebate credit for the applicable tax year. Californians should not expect additional stimulus checks and should be wary of false claims suggesting otherwise.