Stimulus update: Another 900,000 ‘plus-up’ payments sent out as IRS hands out millions more checks

THE IRS has sent out an additional 900,000 "plus-up" payments as it continues to hand out millions more stimulus checks.

A further 2.2 million payments have been issued as of Wednesday, the tax agency said, as it continues to distribute its third round of aid.

Those bonus amounts are based on information gleaned from recently filed tax returns, meaning those who received less money than they should have during previous rounds of stimulus are being reimbursed.

And over one million Americans who never got a third stimulus check, passed under the America Rescue Plan in March, are finally getting some cash thanks to their 2020 taxes.

The IRS said on Wednesday that it has distributed 2.2 million more direct payments of up to $1,400 over the last six weeks.

That brings the total funds distributed under the America Rescue Plan up to an aggregate value of $400 billion.

The latest checks had an official payment date through July 21.

'PLUS UP' PAYMENTS

More than 900,000 of these fresh stimulus checks are what the IRS calls "plus-up" payments.

Those payments are bonus money for people who previously got third-round stimulus checks, though not the full $1,400.

Stimulus payments, meanwhile, will continue to go out on a weekly basis throughout the summer, the IRS says.

Read our stimulus checks live blog for the latest updates on Covid-19 relief...

Alongside the stimulus checks, the expanded child tax credit could cut child poverty by more than half, according to the Center on Poverty and Social Policy at Columbia University.

The parents of some 60million kids started receiving relief payments worth up to $300 from the IRS this month.

However, it requires that the cash actually reaches the poorest families who don't submit tax returns.

CHILD TAX CREDITS

More than 3million households could be at risk of missing out, the Center on Budget and Policy Priorities and Propel has previously estimated.

The warning comes as the child tax credits started landing in the bank accounts of families of almost 60million children on July 15.

The Child Tax Credit program was passed earlier this year under President Joe Biden’s American Rescue Plan.

The credits are worth $3,600 for every child under the age of six and $3,000 for every child aged six to 17.

To qualify, individuals must earn less than $75,000, for heads of households it’s $112,500 and married couples, it’s $150,000.