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If you got the third stimulus payment you cannot also get the credit on the 2021 return ... so if they reduced your refund by $1400 then that is what happened. If you did not get the $1400 (even though the IRS says they sent it ) you must have the payment traced.
Did the IRS reduce your refund on line 35a? If you qualify to get the Recovery Rebate Credit on line 30 it doesn't come separately. It is included in refund on line 35a.
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