On December 20, the U.S. Internal Revenue Service (IRS) announced that they were issuing automatic payments to eligible people who did not claim the “Recovery Rebate Credit” on their 2021 tax returns. The Recovery Rebate Credit is for people who were eligible for but did not receive one or more Economic Impact Payments (EIP), also known as stimulus payments. The stimulus payments were designed to provide assistance during the economic crisis caused by COVID-19.
However, since many international students and scholars are nonresidents for U.S. tax purposes, they were not eligible for the stimulus payments and are not eligible for the Recovery Rebate Credit.
- If you received the automatic payment and were a U.S. tax resident in 2021, you are eligible for the payment and can keep the payment.
- However, if you received the automatic payment in error because you were a nonresident for U.S. tax purposes in 2021, you are not eligible for the payment and should return it to the IRS.
If you are not sure about your U.S. tax residency status in 2021, review Residency and Non-Residency for Tax Purposes. If you used Glacier Tax Prep (the tax software licensed by the International Center) for your 2021 tax return and it prepared Form 1040NR for you, then you were a tax nonresident in 2021.
To Return the Recovery Rebate Credit Payment:
- If you received a U.S. Treasury Check but have not cashed it:
- Write "Void" in the endorsement section on the back of the check.
- Mail the check to the address listed below
- Don't staple, bend, or paper clip the check.
- Include a note stating "Return of erroneous Recovery Rebate Credit" and give a brief explanation of the reason for returning the refund check, such as “nonresident international student (F-1 visa) so not eligible for this payment.”
- If you received a check but have not cashed it, or received the payment as a direct deposit to your bank account:
- Write a check or money order payable to “U.S. Treasury.” The memo line should say: repayment of Recovery Rebate Credit received in error. Include your SSN.
- Mail the check or money order to the address listed below.
Be sure to keep a copy of what you send to the IRS.
If you live in Michigan, use this address:
Kansas City Internal Revenue Service
333 W Pershing Rd.
Kansas City, MO 64108
If you don’t live in Michigan, check the IRS website for the address listed for your state