As we move into 2025, Americans are becoming increasingly aware of the various financial relief measures that have been enacted over the past few years. Among them, the stimulus checks issued by the US government were a key component in assisting individuals and families during the economic hardships brought on by the COVID-19 pandemic. While most of the stimulus payments have already been distributed, there is still a final opportunity for those who haven’t yet claimed the eligible payments.
The third stimulus check, issued as part of the US government’s relief efforts during the COVID-19 pandemic, was designed to help American taxpayers stay afloat financially. But like other tax-related credits and payments, it has specific rules, including an important three-year statute of limitations for claiming refunds. For expatriates who did not receive the full amount they were eligible for, filing a tax return before the April 15, 2025 deadline is crucial to secure any remaining payments.
What is the Third Stimulus Check?
The third and final round of stimulus payments was authorized under the American Rescue Plan Act of 2021. The amount of the third stimulus check was up to $1,400 for individuals, or $2,800 for married couples filing jointly. In addition, $1,400 was provided for each qualifying dependent, including adult dependents.
The IRS issued payments to eligible Americans automatically in 2021, but not everyone received their third payment. Some people were excluded due to technical errors or changes in eligibility status, such as new dependents or changes in income. However, if you didn’t receive your payment, or received less than you were entitled to, you could still claim the missing amount when filing your US tax return. This is where Americans living abroad need to take action before the April 2025 deadline.
Why is this the Last Opportunity?
The IRS imposes a strict three-year deadline for claiming refunds, including those tied to the third stimulus payment issued in 2021. To ensure you can access any unclaimed portion of this payment, you must file your 2021 US tax return no later than April 15, 2025. After this date, the window to claim the refund will close permanently, and any unpaid stimulus funds will no longer be available to you.
This rule emphasizes the importance of timely filing—especially for Americans living abroad who may have missed or been underpaid for the third stimulus check due to issues like incomplete IRS records or delays in processing overseas claims. If you believe you’re entitled to the third stimulus payment and haven’t yet filed your 2021 tax return, now is the time to act to secure these funds before the deadline expires.
Key Steps to Take Before April 15, 2025
To make sure you don’t miss out on the third stimulus check, here’s a step-by-step guide for U.S. citizens living abroad:
1. Confirm your eligibility for the Third Stimulus Check
The first step is to confirm your eligibility. The general eligibility rules for the third stimulus check were as follows:
- US citizens and resident aliens who were not claimed as dependents on someone else’s return.
- Your income must have been below the threshold set for full payments (typically up to $75,000 for individuals, $150,000 for married couples filing jointly).
You must have a valid Social Security Number or Individual Taxpayer Identification Number (ITIN).
2. File Your 2021 US Tax Return
To claim the third stimulus check, you need to file your 2021 US tax return. This is the key document used to calculate the third stimulus payment, and you’ll claim the amount you are owed on your return. For those who are unsure about filing, here’s a brief breakdown of the process:
- File Form 1040: Use this form to report your worldwide income.
- Claim the Recovery Rebate Credit (RRC): On your tax return, you’ll need to claim the Recovery Rebate Credit, which is the process for claiming the third stimulus check. This credit is calculated based on your eligibility, dependent status, and income.
- Include All Relevant Information: Ensure you report all income from abroad, including wages, investment income, or any other sources. Expats should also report any dependents correctly, as this can affect the stimulus payment.
3. Meet the April 15, 2025 Deadline
The IRS has set the final deadline for claiming the third stimulus check as April 15, 2025. You must file your 2021 tax return by this date to receive the payment. If you miss this deadline, the IRS will not issue any further payments, and you will lose out on the opportunity.
Keep in mind that even though US expats can file for an automatic extension if more time is needed, this extension will only give you an extra six months to file your taxes, but it does not extend the deadline for claiming the stimulus check.
What if you’re behind on filing US taxes?
If you haven’t filed US tax returns for several years, you’re not alone. Many Americans living overseas fall behind due to misunderstandings about filing requirements or the belief that they’re exempt because they pay taxes in their country of residence. Thankfully, the IRS offers an amnesty program, known as the Streamlined Filing Compliance Procedures, to help taxpayers catch up without penalties.
The Streamlined Filing Compliance Procedures are specifically designed for taxpayers who failed to meet their US filing obligations but can certify that their failure was non-willful. Under this program, you can:
- File Your Past-Due Tax Returns: You’ll need to file the last three years of tax returns, which for many will include the years 2021 through 2023.
- Claim the Third Stimulus Check: By filing your 2021 tax return under this program, you can still claim the Recovery Rebate Credit to receive the third stimulus payment if eligible.
- Report Foreign Financial Accounts: The program also allows you to catch up on any missing FBAR (Foreign Bank Account Report) filings for the past six years.
This amnesty program offers an excellent opportunity for expats to get back on track with their taxes while also claiming the stimulus payment they may have missed.
Seeking Professional Help
Given the complexity of US tax filings for expatriates, claiming the third stimulus check may not be as straightforward as simply submitting a tax return. Mistakes or missing information can lead to delays or missed payments. Since this is the final chance to claim the third stimulus check, ensuring your claim is accurate is more important than ever.
A professional tax preparer who specializes in expat tax filings can help ensure that all necessary forms are filed correctly, that your eligibility for the stimulus check is properly claimed, and that you don’t miss any other potential deductions or credits you may be entitled to. A tax expert can also provide advice on how best to file your 2021 US tax return to maximize your refund and prevent issues such as delays or audits.
