IRS indicates they found an error on my Federal Tax Return, 2021 Form 1040SR, which affects our ' RECOVERY REBAGE CREDIT '.. They changed my return to correct this error. As a result " you don't owe us, and we don't owe you a refund" !!??? What is going on here ????? My wife and I were entitled to a $2,800 tax refund.............. Please Advise what is going on.............
@Go1Allie THOSE $1400 payments WERE the "3rd stimulus".... the 1st stimulus check was for $1200 (2020) and the 2nd stimulus check was early 2021 ( $600), so the point is you received the $2800 and can't receive it again, so the IRS adjustment is correct,
does that make sense?
It wanted to know if you got the 3rd Round that came out in 2021. Not 3 checks in 2021. If you are thinking you only got 2 payments (yours and hers) they were both for the 3rd Round. So you already got 2800 (1400x2).
EIP1 The first Stimulus payment was 1,200 for each spouse and 500 for each dependent under 17. Came out in spring of 2020.
EIP2 The second Stimulus was 600 per person and dependents under 17. The 2nd stimulus checks started going out at the very end of December 2020 and continued into January/Feb 2021.
The first 2 Stimulus payments went on your 2020 return even if you got the second one in Jan/Feb 2021.
EIP3 The 3rd Stimulus payment started going out in March 2021 and is for 1,400 for each person listed on your tax return, no age limit. The IRS used your 2020 (or 2019) return to send the checks out fast. If your 2021 return changes and you qualify for more you can claim the extra as the Recovery Rebate Credit on 1040 line 30. But line 30 is only if you didn't get the full amount or qualify for more. Not the amount you already got. The IRS also sent out letter 6475 to tell you how much they sent you . If you are married then each spouse should get a letter for half.
Did you have 2800 on 1040 line 30 for the Recovery Rebate Credit for the 3rd Stimulus? Did you already get the 3rd Stimulus (1,400 per person) they sent out last year starting in March 2021? You each should also get IRS letter 6475 saying what they sent you. Line 30 is only if you didn't get the full amount or qualify for more.
If you claimed a missing stimulus payment on your return but the IRS took it off you have to ask the IRS. They think they already sent it to you. Maybe it went to an account you don't remember. Or you got a check or a card. It was probably easy to miss the debit card in the mail and think it was junk mail. They have to put a trace on it.
Double check your bank accounts and check your IRS account (both accounts if married) to see how much the IRS sent you.
https://www.irs.gov/payments/your-online-account
If you didn't get the 3rd Stimulus check but the IRS shows they sent it to you then request a trace for a missing third Stimulus payment
https://www.irs.gov/newsroom/questions-and-answers-about-the-third-economic-impact-payment-topic-j-payment-issued-but-lost-stolen-destroyed-or-not-received
@Go1Allie - here is what occured:
1) last year you received* the 3rd stimulus which was $1400 per person
2) when you filled out your tax return, the Turbo Tax interview asked you how much you had received for the 3rd stimulus. if you answered 'zero'. then $2800 posted on Line 30. (please look at form 1040 Line 30 to confirm that is what is there)
3) But when the IRS reviewed your return, they know they sent you the $2800 last year, according to their records,
4) so the IRS removed the $2800 you posted on Line 30 of your return, since their records show they already sent it to you. The result is your refund is reduced by $2800
5) please check you bank account records for the receipt of the stimulus last March - May, 2021. if you see it there, then that is why the IRS adjusted your return.
6) if you have no record of receiving the $2800, despite the fact that the IRS records indicate they sent it to you, then you'll need to file a 'tracer' form so that the US TReasury can figure out what happened to the $2800 and resolve the issue.
https://www.irs.gov/pub/irs-pdf/f3911.pdf
does that make sense?
NEVER received a 3 stimulus check.... My wife received one for $1400 and I received one for $1400 and that was it............... Two (2) checks last year sometime.............
@Go1Allie THOSE $1400 payments WERE the "3rd stimulus".... the 1st stimulus check was for $1200 (2020) and the 2nd stimulus check was early 2021 ( $600), so the point is you received the $2800 and can't receive it again, so the IRS adjustment is correct,
does that make sense?
It wanted to know if you got the 3rd Round that came out in 2021. Not 3 checks in 2021. If you are thinking you only got 2 payments (yours and hers) they were both for the 3rd Round. So you already got 2800 (1400x2).
EIP1 The first Stimulus payment was 1,200 for each spouse and 500 for each dependent under 17. Came out in spring of 2020.
EIP2 The second Stimulus was 600 per person and dependents under 17. The 2nd stimulus checks started going out at the very end of December 2020 and continued into January/Feb 2021.
The first 2 Stimulus payments went on your 2020 return even if you got the second one in Jan/Feb 2021.
EIP3 The 3rd Stimulus payment started going out in March 2021 and is for 1,400 for each person listed on your tax return, no age limit. The IRS used your 2020 (or 2019) return to send the checks out fast. If your 2021 return changes and you qualify for more you can claim the extra as the Recovery Rebate Credit on 1040 line 30. But line 30 is only if you didn't get the full amount or qualify for more. Not the amount you already got. The IRS also sent out letter 6475 to tell you how much they sent you . If you are married then each spouse should get a letter for half.