IRS says im not eligible for recovery rebate for child born in 2020

[rmatherne88]

My taxes are still processing but I was told today by the IRS that they took the stimulus off of my return because I was not entitled to it. The issue is, even the rep said 2020 dependents qualify for it so she doesnt know why they did that.

Is that it? Or will there be a way to recover the stimulus still?

[ReneeM7122]

The best course of action is to determine the reason why the IRS stated that you were not eligible.  You can contact the Taxpayer Advocate Service.  Here is the link.

You should also examine your tax return.  Since we can't see it, it would be difficult to say what happened.  However if there was a mistake, you could always amend the return.

[rmatherne88]

Ive already done this, my return has no errors that that the advocate could see and he could not tell me why they took the recovery rebate credit off. Also I can't amend because what was sent in the first time is correct. I think I have found out through google that once I get the letter I can appeal the decision.

[ThomasM125]

You need to keep in mind that the IRS goes off of how many dependents are listed on your tax return, not the identity of the dependents.

So, if you listed the same number of dependents on your tax return in 2020 that you listed in 2019, you would not be due additional stimulus payments, even if the identify of those dependents changed. So, you may have listed a dependent on your 2019 tax return that was replaced by a different dependent in 2020, but that would not entitle you to more stimulus payments.

[rmatherne88]

I understand that, but ive claimed the same 5 dependents for the last 3 years until this year when I added my baby born in july. So it was an extra dependent, not the same amount.

[VolvoGirl]

Did any of your dependents turn 17 in 2020?  Was the 1,100 Recovery rebate credit for the baby entered on 1040 line 30?  And they reduced your refund for it?

[rmatherne88]

All of my dependents are 12 and younger, and yes line 30 was 1100.

[rmatherne88]

And yes, it reduced my refund for 1100 because they said I didn't qualify.