Is a $1,702 Stimulus Payment Coming in 2025? What We Know About the Tariff Rebate Rumours

Rumours of a tariff rebate, inflation cheques, or a fourth stimulus cheque are making waves on Social media. While over 8 million New Yorkers will receive inflation rebate cheques of up to $400 (£296), starting at the end of September, there is no confirmation from the Internal Revenue Service (IRS) or Congress of new stimulus cheques in varying amounts of $1,702 (£1,259) to $2,000 (£1,408) for Americans this year.

Hence, such news should be scrutinised and cross-checked with official sources, as it could be misinformation or attempts at fraud by scammers. Reports have also emerged that scammers are sending fake texts by impersonating IRS officials.

The IRS has issued warnings against text scams that could mislead unsuspecting people about tax refunds, credits, payments, or new stimulus cheques by influencing them to provide personal and financial information.

While there are efforts underway to issue cheques to Americans between $600 (£444) and $2,400 (1,776), the proposed legislation by Senator Josh Hawley has yet to pass Congress. Earlier this year, US President Donald Trump stated he would consider a plan to pay out $5,000 (£3,700) stimulus cheques to taxpayers in the form of a DOGE dividend payout. The payment would be financed with 20% of the savings identified by the US Department of Government Efficiency. However, Trump has not shared any further specifics or updates about the potential DOGE payout or its certainty since then.

On 8th September, the IRS cautioned taxpayers about rising fraudulent tax schemes making rounds on social media, focused on the misuse of the Fuel Tax Credit and the Sick and Family Leave Credit. These scams have led countless taxpayers to file inaccurate returns, most of which resulted in the denial of refunds and, worse, high penalties.

'These schemes are not only misleading but can cost taxpayers dearly,' said James Clifford, IRS Director of Return Integrity and Compliance Services. 'People who follow this advice could end up with rejected claims and a penalty of up to $5,000 in addition to any other penalties that might apply. So far, the IRS has imposed over 32,000 penalties costing taxpayers more than $162 million. It's in the taxpayer's best interest to stay informed.'

The IRS explained that these scams have common traits like social media posts claiming everyone qualifies for certain tax credits, promises of fast or easy refunds with minimal documentation, instructions to file amended returns, and sometimes even encouragement to ignore IRS letters or respond to them with false information.

Overall, it is in your best interest to work directly with the IRS or a reputable tax professional to address missing stimulus payments or claim the Recovery Rebate Credit on your tax return, if applicable.

Note that the deadlines to claim or file for the first stimulus payment issued in March and April 2020, or the second stimulus cheque issued by 15th January, 2021, or the third one issued between March and December 2021 have now passed.

The deadline to file for the third and last stimulus check was 15th April, 2025, marking the end of a three-year deadline to claim any tax refunds or, in this case, the $1,400 (£1,036) Recovery Rebate Credit for 2021.