Third Stimulus Payment

Forum|Forum|3 years ago
March 21, 2023
2 replies
0 views

Hi all,

I'm freaking out a little bit right now and hope to get some help. For my 2021 taxes, I did not receive the third stimulus payment automatically, and I thought I was eligible so I claimed it on my return last year because I thought I could no longer be claimed as a dependent. However, it has come to my attention that for purposes of the stimulus, a dependent be up to age 24 and enrolled full time in college, and living with another taxpayer who provides at least one half of support and still be claimed as a dependent (I was only 23). And, to be eligible for your own third stimulus check, I read that you must have filed for taxes for either 2019 or 2020 independently (not claimed as a dependent), which I was claimed in both of those years. So, it appears I may have erroneously claimed the credit. I may also have forgotten to claim a small amount of bank interest that wasn't enough for me to get a form 1099-INT, and left out a 1099-Q that I got for probably an even smaller amount.

What should I do?? The IRS hasn't said anything to me and it's been almost a year. Should I file an amended return, and if so, does that increase my chances of an audit? Can they charge interest and penalties on top of having me return the $1400? I really need some advice because I'm super anxious about this...thank you. 🙂

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BrittanyS

Level 12

Can you clarify whether the person who claimed you as a dependent did receive the $1,400 on your behalf? The interest is small, so the IRS would not be too concerned with the error.

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Charlotte7598Author

Level 4

Hi Brittany,

Thank you for responding! My mom said she doesn't remember if she received the extra $1400 for me, but she did not claim me on her taxes for tax year 2021 that was filed last year. But was I correct in saying I was an eligible dependent that year, and could have been claimed? Which means I was not eligible to receive my own check?

DawnC

Level 15

That is correct. Since you had to check the box ''someone else can claim me'', you would not be eligible for the 3rd stimulus ($1400). If your mom didn't claim you, she would not have received the $1400 either. Since you could have been claimed, your mom (or whoever could claim you) could file an amendment, claim you, and receive the recovery rebate.

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Charlotte7598Author

Level 4

Thanks for the help everyone! If I file an amended return now, what do you think that'll do to my chances of being audited? I can't imagine the IRS would be super happy about this type of error. It would also mean that I wasn't eligible for the student loan interest deduction and education credit I received....

And, I guess I'm just trying to determine whether it's worth going back and amending at this point. I made about 24,500 that year, could I reasonably have provided half my own support with that? Although I read you had to file independently (not claimed as dependent) for 2019 and 2020 as well to qualify for the third payment, I don't know if that's true or not.

DaveF1006

Level 15

Yes, to be eligible for the third stimulus payment, the IRS stipulates If you were claimed as a dependent on someone else's tax return for 2020, you were not eligible for the third Economic Impact payment.

No, filing an amended return will not increase your risk of being audited. As far the amount of money that you made, you may have been able to claim your own dependency but only you can determine if the money made provided for more than 1/2 of your living expenses.

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