IRS Believes I received my refund. I didn't

[kjnoire]

Hello

I filed my taxes in March of this year. When I did, I made a mistake. I thought i hadnt received the 3rd stimulus payment (1400) in 2021, so i marked i didnt. That would have made my refund 2440

However after i submitted my taxes, i realized i did receive the 3rd stimulus. I filed an amended return with a turbotax agent and sent the amended return in days later.

After the amended return was sent, i received a letter from the irs stating that they corrected the original mistake on my tax form and my refund would be 1040, which is right.

But a few days after that letter, the IRS removed 1400 from my bank account, the amount of the 3rd stimulus payment. I had NOT received any refund from the IRS. The 1400 they took is of my own money. The IRS believes i received the 2440 by mistake, and removed 1400 to make my actual refund 1040. But the problem is I never received ANY refund. I had not received 2440 at all.

I talked to a irs agent who stated they would put a note on my return. But my concern is that the IRS believes the problem is already corrected since they took the 1400 back already. Since then I havent been able to get in touch with the IRS at all.

What can I do?

[NCperson]

@kjnoire - first, lesson learned for the futur: wait to amend until the IRS processes the original return.  (in this case they would have made the adjustment automatically)

2) wait for the amendment to complete processing.  You can see progress here: 

https://www.irs.gov/filing/wheres-my-amended-return

3) in essence, once the amendment has cleared, you have not received the Recovery Rebate Credit and you need to declare it.  So it's going to take another amendment, checking the 'other' box and notating "RRC" and $1400 due to you.  But wait until that first amendment is completely processed so you know what the IRS actually did and can act according

[Critter-3]

Agreed ... sending in the amendment with the request that the $1400 be withdrawn from your account BEFORE the IRS sent you the original refund  was a huge error  that the IRS should  eventually catch and refund the excess payment.  

[kjnoire]

Thank you both! I appreciate it

[kjnoire]

Yes haha, huge mistake 😅 I panicked when i realized I had made the mistake and just wanted to do the right thing to correct it

Thank you!

[fanfare]

"The IRS believes i received the 2440 by mistake, and removed 1400 to make my actual refund 1040."

@kjnoire 

The problem is it's all done by computer.

A) you submitted an "amount you owe"

B) you supplied your bank account.

The IRS took the funds immediately.