Turbotax Recovery Rebate Credit 2021

[xmasbaby0]

@Gmack Your "post" is blank.   Are you trying to ask a question?

[Gmack]

No - I deleted that post's content because it misguidedly blamed turbotax's step-by-step for my mistake.  I didn't remember that my wife also received an Economic Impact Payment in 2021 and, since we file jointly, that half should have included in the entry.☹️

Q G2. Where can I find the amount of my third Economic Impact Payments to help me calculate the 2021...

A2. You can find the amount of the third Economic Impact Payments in one of the following ways:

• Your online account. It's an online IRS application that allows you to securely access your individual account information. The amounts of your third Economic Impact Payments are shown on the Tax Records tab/page under the section "Economic Impact Payment Information." If you and your spouse received joint payments, each of you will need to sign into your own online account to retrieve your separate amounts.
• Your Notice 1444-C, Your Third Economic Impact Payment, which shows the amount of the third payment. If you received joint payments with your spouse, the letters show the total amount of each payment. If you file separate 2021 tax returns, each of you must enter half of the amount of the payment shown on Notice 1444-C. Individuals who received plus-up payments received a separate Notice 1444-C after each payment was issued.
• Letter 6475, Your 2021 Economic Impact Payment(s). Through March 2022, we'll send this letter confirming the total amount of the third Economic Impact Payment and any plus-up payments you received for tax year 2021. If you and your spouse received joint payments, each of you will receive your own letter showing half of the third payment.  Each spouse may receive their letter at different times. If filing a joint return in 2021, include both amounts when calculating the 2021 Recovery Rebate Credit. If you file separate 2021 tax returns, each of you must enter your half of the payment amount, which is  shown on your own Letter 6475, when calculating any 2021 Recovery Rebate Credit you may be eligible to claim on your own return.
• Your 2021 account transcript, which you can request online or by mail using Get Transcript. You may also call our automated phone transcript service at [phone number removed] for it be sent by mail or you can submit Form 4506-T. If you received joint payments with your spouse, the transcript shows the total amount of each payment under the primary taxpayer. If you file separate 2021 tax returns, each of you must enter half of amount of the payment.

[mjm77]

There is an error on the 2021 Turbo Tax Recovery Rebate Credit portion.   Turbo tax did NOT recognize my gross married combined income was over $150,000 and the program still said I was eligible for the 3rd stimulus.  I am not a tax pro.  I'm relying on Turbo Tax to get it right.  The program asks the questions, and I fill in the blanks.  Very disappointed.  IRS sent me a letter.  

[DoninGA]

@mjm77 The TurboTax program showed you the amount of the 3rd stimulus you were eligible to receive based on your Adjusted Gross Income.   You were asked if this was the amount that you received and how much you received from the IRS.  You entered 0.

Since you told the program that you did not receive a 3rd stimulus payment from the IRS, the program entered the Recovery Rebate Credit on the Form 1040 Line 30 based on the amount you were eligible to receive.

The IRS has records that show you were sent the 3rd stimulus payment so they removed the Recovery Rebate Credit that was entered on Form 1040 Line 30.

Go to this IRS website for your tax account to see if the 3rd stimulus payment is entered - https://www.irs.gov/payments/your-online-account
If you are Married Filing Jointly also check your spouse's tax account.

If you checked your bank account in the March - May 2021 timeframe and there is not a EIP3 payment from the IRS then go to this IRS website for how to start a trace on the payment - https://www.irs.gov/newsroom/questions-and-answers-about-the-third-economic-impact-payment-topic-j-p...

[xmasbaby0]

When you answered the questions on that screen and you said NO to the one about whether the amount received matched the amount shown on letter 6475 that was sent to you----did you look at BOTH letters that the IRS sent to you?   If the IRS paid you money for the third EIP payment, they sent a letter to each spouse, and you were supposed to enter the amount for EACH of you.   If you did not use the amount for both spouses, then you would have put an incorrect amount on line 30 of your Form 1040, thereby resulting in a reduced refund when the IRS looked to see how much they really sent to the two of you.

LOTS of people have made mistakes this year with the recovery rebate credit by "forgetting" that they received the $1400 per person stimulus checks last year.  They answered no to the questions for the  recovery recovery rebate credit and put the $1400 per person on line 30 of their returns.  But you cannot get it twice, so the IRS removes it when it is there by mistake.  The IRS sent letter 6475 showing that you received the 3rd stimulus check. 

It is very important that if you filed a joint return—-the IRS sent letter 6475 to EACH spouse.  You had to enter the total amount received.   Many people misunderstood and entered only the amount from one of the letters.

Try checking your online account with the IRS (and if you filed a joint return—check for BOTH of you)

https://www.irs.gov/payments/your-online-account

Does the IRS show that you received a $1400 per person stimulus or EIP check in 2021?   Did you receive it?   When you were asked on your tax return did you say no?   Was there $1400 per person on line 30 of your tax return?

If the IRS says you got $1400  per person last year but you did not receive it you can have it traced.

LOST THIRD STIMULUS CHECK

https://www.irs.gov/newsroom/questions-and-answers-about-the-third-round-economic-impact-payment-top...

If you need to trace a payment that the IRS says has been issued to you, mail or fax a completed IRS Form 3911, Taxpayer Statement Regarding Refund.

[VolvoGirl]

Yes it said you were over 150,000 so it gave you a reduced amount of $1,960 instead of 2800.  It only phases out between 150,000 and 160,000 before it stops.  But you answered you didn't get any of the 3rd Stimulus payment so you tried to claim the Recovery Rebate Credit.  BUT the IRS records show they already sent it to you.

2,800 is the 3rd Stimulus payment.  It was 1400 for each person.  Did you already get the Stimulus payment they sent out last year starting March 2021?  Did you get IRS letter 6475 saying what they sent you?  If you are married you should each get letter 6475 for half.

Double check your bank statements and check your IRS account to see what they sent you.  Check both IRS accounts if married.

Your Online Account | Internal Revenue Service

If the IRS thinks they sent it to you but you didn't get it 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-p...Your Online Account | Internal Revenue Service

[mjm77]

Thank you for your response.  However, the point I'm making is that because our married adjusted gross income was over $150,000, we are not eligible for 3rd rebate per IRS rules.  Period.  Turbotax should have recognized that immediately and skipped this screen altogether.  If you look closely at the screen I copied in my previous message, you will see, our adjusted gross income is $153,014 and Turbotax shows we are eligible.  This is incorrect.  $150,000 is the max for married.  This is my point.  

[NCperson]

@mjm77 -  while stated by others indirectly, Turbo Tax DID recognize your income was over $150,000 (and that is why it didn't provide $2800 on Line 30).  

The error was telling TT that you did not receive the 3rd stimulus when the IRS records are that they did send you the 3rd stimulus.

and p.s. if they sent you $2800 originally and your income is over $150,000, meaning you are only eligible for $1960, there is no requirement to send back the different.  That is why the adjustment is only the $1960 sitting on Line 30. 

[NCperson]

@mjm77 - sorry but you are misinformed: 

https://www.irs.gov/coronavirus/third-economic-impact-payment

Generally, someone was eligible for the full amount of the third Economic Impact Payment if they:

• are a U.S. citizen or U.S. resident alien (and their spouse if filing a joint return), and
• are not a dependent of another taxpayer, and
• had adjusted gross income (AGI) that is not more than:
  • $150,000 if married and filing a joint return or if filing as a qualifying widow or widower
  • $112,500 if filing as head of household or
  • $75,000 for any other filing status

Payments were phased out – or reduced – above those AGI amounts. This means people did not receive a payment if their AGI was at least:

• $160,000 if married and filing a joint return or if filing as a qualifying widow or widower
• $120,000 if filing as head of household
• $80,000 for any other filing status

So at $150,000 or below, you were eligible for the full payment

between $150,000 and $160,000, the full payment was reduced

over $160,000, there was no payment

but again, if you received more for the 3rd stimulus ($2800) than you were eligible for on your tax return ($1960), you did not have to pay back the difference.  Line 30 should have been zero. 

[VolvoGirl]

See the 2nd question on this IRS page about eligibility 

https://www.irs.gov/newsroom/questions-and-answers-about-the-third-round-economic-impact-payment-top... 

It only phases out over 150,000.  The max is 160,000.  But That's not why the IRS took it off your return line 30.  They already sent you the 3rd Stimulus payment.  

[mjm77]

Thank you for information.  

[Belindahood]

To whom it may concern

I Belinda Hood, filed my taxes through your web last year 2021 and I cannot find my AGI for 2021 which is why the IRS is rejecting my returns. So, I am asking for assistance

[ee-ea]

@Belindahood 

https://ttlc.intuit.com/turbotax-support/en-us/help-article/internal-revenue-service/find-last-year-...

[VolvoGirl]

@Belindahood 

You need your 2021 AGI to efile 2022. The AGI is on 2021 1040 line 11. If you filed a Joint return you use the same AGI for each spouse.

How to find the AGI.
https://ttlc.intuit.com/community/agi/help/how-do-i-find-last-year-s-agi/01/25947

If you didn't file 2021 or filed it later in the year or mailed it, then try entering 0 for the AGI. If that doesn't work you will have to print and mail your return.

Or request a transcript from the IRS
https://www.irs.gov/individuals/get-transcript