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IRS Gave Stimulus Money to Dead People, Even After Error Was Identified: Audit

By Zachary Stieber

The Internal Revenue Service (IRS) erroneously paid about $64 million in stimulus checks 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 about 44,900 such payments to people listed as dependents, but who had died prior to Jan. 1, 2021, according to the Treasury Inspector General for Tax Administration (pdf).

The watchdog stated that the payments resulted from a programming error that it notified the IRS about in April 2021…

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