Schedule 8812: Advance payments received must be entered? / Principal Place of Abode and Letter 6416 Information Smart Worksheet

My Spouse and I received $1400 each of the Economic Impact payments. Now the question is I'm doing my taxes on TurboTax and it keeps telling me I have to fill out the part the Schedule 8812, advance payments received must be entered. When I enter the $2800 it lowers my refund. We received a letter from IRS stating that the Impact payment is not considered taxable income. We don't have any kids so do I just zero amount for the child tax credit payments.

rjs
Level 15
Level 15

Deductions & credits

Yes, you enter zero on Schedule 8812. The Economic Impact Payment is not an advance Child Tax Credit payment. They're two different things. Schedule 8812 is for the Child Tax Credit, not the Economic Impact Payment. You did not receive any advance Child Tax Credit payments, so you enter zero for that. TurboTax will ask you separately about the Economic Impact Payment you received. You enter the $2,800 there. That does not go on Schedule 8812.

 

Deductions & credits

Turbotax keeps saying there is an error on schedule 8812. I am a 73 - have NO children living at home. How can I delete this form?

rjs
Level 15
Level 15

Deductions & credits

@Joybellno1  You can't delete Schedule 8812. When the error comes up, just enter zero for the advance payments you received. That will eliminate the error.

 

Deductions & credits

We both received 1400 each so I put in the amount 2800 in the box. So it want let me goony father. So what do I need to do about the amount I put in the box.

KrisD15
Expert Alumni

Deductions & credits

TurboTax asks for each payment, so you should enter 1400 and 1400. 

 

TurboTax also first assumes you received NO advance payments, and may give you a full Child Tax Credit. 

When you enter the advance payments you already received, your refund may be lowered since the advance payment amount is always subtracted from the credit. 

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rjs
Level 15
Level 15

Deductions & credits

@stab1940  This thread is about Schedule 8812, which is for the Child Tax Credit. Did you and your spouse each receive $1,400 of monthly advance Child Tax Credit payments, or was the $1,400 that you each received your stimulus payment? That is the usual amount for the third stimulus payment, not for the Child Tax Credit. Do not enter your stimulus payment on Schedule 8812. If you did not receive advance Child Tax Credit payments, enter zero on Schedule 8812.

 

Deductions & credits

Turbotax keeps saying there is an error on schedule 8812. I am 70- have NO children living at home. How can I delete schedule 8812?

Deductions & credits


@Bird5 wrote:

Turbotax keeps saying there is an error on schedule 8812. I am 70- have NO children living at home. How can I delete schedule 8812?


Everyone is being asked this question since TurboTax does not know if the user was one who received these advances from the IRS in 2021.

 

Enter a 0 (zero) when asked to enter a number on the Schedule 8812. This will correct the issue and remove the Schedule 8812 from your tax return so that you can file the return.

Deductions & credits

When is Turbotax ready to Transmit e-file Federal and State Tax Returns?

berkp100
New Member

Deductions & credits

I don't understand advanced payments received must be entered.  Did receive $2800 but I thoiught it was tax exempt

Deductions & credits


@berkp100 wrote:

I don't understand advanced payments received must be entered.  Did receive $2800 but I thoiught it was tax exempt


The advance child tax credits received in 2021 must be entered so they can be subtracted from the Total Child Tax Credit you are eligible to receive on the 2021 tax return.  As the description for the payments sent to you in 2021 says, they were an Advance.

MayaD
Expert Alumni

Deductions & credits

The advanced payments are not income and will not be reported as income on a your 2021 tax return.

TurboTax starts out by giving you the full child tax credit, but you have to enter the amount of advance payments you already received so then the software reconciles the full amount with the amount already sent to you between July and December.

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Deductions & credits

Only after we complete the interview regarding the third stimulus check (received in 2021) as per IRS Letter 6475, does the Federal Review create an alert that there is a problem with an entry in Schedule 8812.  Schedule 8812 relates to IRS Letter 6419 and not Letter 6475.

 

Intuit would have avoided creating this confusion if it had placed on one Step-by-Step page checkboxes for Letter 6475 and Letter 6419. Those who selected only 6475 would not then be presented with the Federal Review error regarding Schedule 8812.

 

Further reading: https://blog.turbotax.intuit.com/tax-planning-2/irs-letters-6419-and-6475-for-the-advanced-child-tax...

 

c007bud
Returning Member

Deductions & credits

I and my wife are filing a joint return following completion of the Deluxe version of Turbo Tax! son completing the review, it keeps mentioning completion of Schedule 8812! Why do we need to complete that form?