The Internal Revenue Service (IRS) erroneously paid some $64 million to deceased individuals, even after a computer error was identified, according to a watchdog report. The American Rescue Plan Act, signed by President Joe Biden on March 11, 2021, created a fund for stimulus payments of up to $1,400 to many Americans. The IRS sent some 44,900 such payments to people listed as dependents but who died prior to Jan. 1, 2021, according to the Treasury Inspector General for Tax Administration (pdf). The watchdog said the payments resulted from a programming error that it notified the IRS about in April 2021. “IRS management agreed that these payments were issued erroneously. However, IRS management did not provide their corrective action to address future erroneous payments. We identified 406 additional payments for a deceased dependent that were issued after we alerted IRS management,” the inspector general said in a report on stimulus payments. Another 18,845 payments …
IRS Gave Stimulus Money to Dead People, Even After Error Was Identified: Audit
March 28, 2022
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