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Why did it decrease my amount to 0.00$?

We made changes to your tax return that changed the amount of your refund.

 

 

Our changes decreased the amount of your refund to $0.00. You will receive a notice that explains the changes to your tax return ?
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3 Replies

Why did it decrease my amount to 0.00$?

A common adjustment this year is if you claimed the Recovery rebate credit on 1040 line 30 when you already got the Stimulus payment or got the second one after you filed or reported the wrong amounts or entered the wrong amounts in the 2 boxes.  If you entered the total you got for both rounds in the same box it would think you didn't get the other one.  The IRS knows how much they already sent you.  You might have tried to claim it again on line 30.

Why did it decrease my amount to 0.00$?

I have never recieved any thing I am a first time filer.

Why did it decrease my amount to 0.00$?

When you get the promised notice you will know what they changed.  Was there an amount on the form 1040 line 30?  Was that amount your entire tax refund ?   If so most likely the IRS declined the credit ... 

 

The letter from the IRS probably is stating that you indicated on our 2020 federal tax return that you did NOT receive a stimulus payment and therefor the amount that you did not receive was entered on the Form 1040 Line 30 as a Recovery Rebate Credit.

 

However, the IRS removed the credit from your tax return because the IRS shows that the stimulus payment was sent to you.  By removing the credit this reduces your federal tax refund or increases the taxes owed.

 

Go to the IRS website for your tax account to see what the IRS has sent to you for stimulus payments - https://www.irs.gov/payments/view-your-tax-account

 

If you never received the stimulus payment shown on your account then have the IRS put a trace on the payment.  Go to this IRS website for how to start a trace - https://www.irs.gov/newsroom/questions-and-answers-about-the-first-economic-impact-payment-topic-f-p...

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