Everything a nonresident needs to know about the US Recovery Rebate Credit

Recovery Rebate Credit for nonresident aliens
In this guide we will cover everything a nonresident needs to know about the Recovery Rebate Credit as a nonresident.

Last updated: 20 January 2025

(This article was originally published on March 22, 2022)

There is some confusion from nonresidents in the US around the topic of stimulus payments from the pandemic.

Nonresidents are typically not eligible to receive these payments. However, the IRS sent many checks to nonresidents in error.

The IRS has recently announced that people who are missing a stimulus payment or got less than the full amount may be eligible to claim a Recovery Rebate Credit on their 2020 or 2021 federal tax return.

2025 Update:

In December 2024, the IRS began distributing payments for the unclaimed Recovery Rebate Credit under the American Rescue Plan Act (COVID stimulus payments) to individuals who had not filed tax returns for 2021 or 2022.

This has caused confusion among nonresidents, many of whom have unexpectedly received these payments. If you’ve recently gotten such a payment, it may be because you filed a 1040 tax return after 2022, prompting the IRS to issue the payment in error.

If you were a nonresident in 2020 or 2021 and received this payment by mistake, you are obligated to return it and inform the IRS of your nonresident status during those years.

If the payment was a paper check:

  1. Write “Void” in the endorsement section on the back of the check.
  2. Mail the voided Treasury check immediately to the appropriate IRS location listed below.
  3. Don’t staple, bend, or paper clip the check.
  4. Include a brief explanation stating the reason for returning the check.

If the payment was a paper check and you have cashed it, or if the payment was a direct deposit:

  1. Submit a personal check, money order, etc., immediately to the appropriate IRS location listed below.
  2. Write on the check/money order made payable to “U.S. Treasury” and write Third EIP, and the taxpayer identification number (social security number, or individual taxpayer identification number) of the recipient of the check.
  3. Include a brief explanation of the reason for returning the EIP.

For your paper check, here are the IRS mailing addresses to use based on the state:

If you live in…then mail to this address
Maine, Maryland, Massachusetts, New Hampshire, VermontAndover Internal Revenue Service
310 Lowell St.
Andover, MA 01810
Georgia, Iowa, Kansas, Kentucky, VirginiaAtlanta Internal Revenue Service
4800 Buford Hwy
Chamblee, GA 30341
Florida, Louisiana, Mississippi, Oklahoma, TexasAustin Internal Revenue Service 3651 S Interregional Hwy 35
Austin, TX 78741
New YorkBrookhaven Internal Revenue Service
1040 Waverly Ave.
Holtsville, NY 11742
Alaska, Arizona, California, Colorado, Hawaii, Nevada, New Mexico, Oregon, Utah, Washington, Wisconsin, WyomingFresno Internal Revenue Service
3211 S Northpointe Dr.
Fresno, CA 93725
Arkansas, Connecticut, Delaware, Indiana, Michigan, Minnesota, Missouri, Montana, Nebraska, New Jersey, Ohio, West VirginiaKansas City Internal Revenue Service
333 W Pershing Rd.
Kansas City, MO 64108
Alabama, North Carolina, North Dakota, South Carolina, South Dakota, TennesseeMemphis Internal Revenue Service
5333 Getwell Rd.
Memphis, TN 38118
District of Columbia, Idaho, Illinois, Pennsylvania, Rhode IslandPhiladelphia Internal Revenue Service
2970 Market St.
Philadelphia, PA 19104
A foreign country, U.S. possession or territory, or use an APO or FPO address, or file Form 2555 or 4563, or are a dual-status alien.Austin Internal Revenue Service
3651 S Interregional Hwy 35
Austin, TX 78741

What is the US Recovery Rebate Credit?

The Recovery Rebate Credit was a payment that was part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act that came into existence in the early days of the pandemic, in 2020.

This initial part of this stimulus payment was of up to $1,200 for any of the qualifying adults and up to $500 per qualifying dependent.

A lot of these payments were sent out in mid-2020.

 

How much is the credit?

For the majority of people, the base amount received from the credit was $1,400.

For married couples who filed a joint tax return, the total was $2,800.

The amount received is generally based on factors such as

  • Filing status
  • Amount of children who can qualify
  • Adjusted amount of any impact payments already received
  • Gross income

 

Can a nonresident claim the Recovery Rebate Credit?

At the time of the payments, there was confusion around the qualifying factors as many nonresidents and residents alike received it.

However, strictly speaking, nonresidents (including nonresident international students) do not qualify for any of the credit, as you:

  • Must be a US citizen or U.S. resident alien in 2020
  • Cannot have been a dependent of another taxpayer in 2020
  • Must have a Social Security number that is valid for employment before the 2020 tax return due date

 

I filed as a resident and Recovery Rebate Credit in error, what should I do?

The first point to remember is that you shouldn’t worry, you are not alone in receiving this in error!

The good news is that all you need to do is file an amended tax return for the relevant year you filed as a resident and thus pay any tax liability that you owe to the IRS.

Thousands of amended returns are sent to the IRS each year, this is completely normal and happens to many nonresidents. An amended nonresident tax form is formally known as 1040X.

Completing a 1040X online is quite easy, and you can do it today with Sprintax!

 

I filed correctly but received the payment. What should I do?

This is another common scenario we have seen over the past year.

Most people find they have either cashed the check or have not cashed it, so will be left with two options:

1. You received the check but have not yet cashed it:

  1. You’ll need to write “Void” on the back of the check.
  2. Mail the check to a valid IRS branch location closest to you.
  3. Include in it a note outlining why you are returning the check.

2. You received the payment as a check and cashed it/ you received the payment through direct deposit:

  1. This will require you to send a personal check, or money order, etc., to your relevant IRS branch location.
  2. On the check/money order, you’ll have to write “made payable to ‘U.S. Treasury’” and also write ‘2020EIP’, and your taxpayer ID (in this case your social security number, or individual taxpayer identification number/ITIN).
  3. Again, give an explanation of the reason for returning the payment.

 

How Sprintax can help you

Sprintax is the go-to service for nonresident and international student tax preparation in the US.

If you accidentally claimed the recovery rebate credit, we can help you prepare your 1040X to ensure you are on the right side of the tax authorities.

If you are unsure of your tax obligations, our tax team is more than happy to discuss your case with you.

We have a 24/7 Live Chat service that will provide you with key assistance when you need it the most.

We’ll complete a full tax review on our user-friendly system, ensuring you are ready to file your optimized tax return.

 

Prepare your 1040X form with Sprintax Returns.

Prepare my 1040-X form

 

 

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