topic About 1st and 2nd stimulus payment from IRS for kids in Get your taxes done using TurboTax

About 1st and 2nd stimulus payment from IRS for kids

yzgm09 — Tue, 23 Mar 2021 15:16:09 GMT

I remember the normal stimulus payments from IRS:

1st stimulus payment: ~ $1200 per adult and $500 per child

2nd stimulus payment: ~$600 per adult and $600 per child

If we did not receive any payment for children, how to get them via tax return?

Re: About 1st and 2nd stimulus payment from IRS for kids

MinhT1 — Tue, 23 Mar 2021 15:30:38 GMT

If you did not receive the stimulus payments for a dependent child under age 17, you can claim them on your 2020 tax return as the Recovery Rebate Credit.

In TurboTax Online, to claim the Recovery Rebate credit please do the following:

Sign into your account and continue from where you left off
Click on Federal in the left-hand column, then on Federal Review on the top of the screen
On the next page titled Let's make sure you got the right stimulus amount, click on Continue
Follow the interview
TurboTax will determine whether you are entitled to any additional stimulus
Any stimulus amount remaining due to you will show as a credit on line 30 of your form 1040.

Re: About 1st and 2nd stimulus payment from IRS for kids

yzgm09 — Tue, 23 Mar 2021 15:45:04 GMT

From the amount we have got, it is obvious that my children's stimulus money was missed. The IRS did not pay any money for my two children for both 1st and 2nd stimulus payments. What we got were only for me and my wife. However, the turbotax said that what we got is correct, no need to claim Recovery Rebate Credit. Not sure why?

Re: About 1st and 2nd stimulus payment from IRS for kids

VolvoGirl — Tue, 23 Mar 2021 15:55:34 GMT

How old are your children? Are you claiming them as dependents? You only got 2400 and 1200?

Re: About 1st and 2nd stimulus payment from IRS for kids

yzgm09 — Tue, 23 Mar 2021 15:58:06 GMT

My two boys are 14 and 16 in 2020. We only got:

1st payment in total: $2244.5

2nd payment in total: $1144.5

Re: About 1st and 2nd stimulus payment from IRS for kids

MinhT1 — Tue, 23 Mar 2021 16:00:16 GMT

Did you go through the process described in my previous answer?

Please check line 30 of your form 1040. Line 30 represents your Recovery Rebate credit which must include all your missing stimulus payments if you answered correctly the questions about how much stimulus you already received. The Recovery rebate credit on line 30 is already included iin your refund. If you received the refund as shown on your return, then you have received the amount shown on line 30.

Re: About 1st and 2nd stimulus payment from IRS for kids

VolvoGirl — Tue, 23 Mar 2021 16:03:14 GMT

Sounds like you are over the max AGI on your 2020 return to get anymore for the first or second rounds. But I don't know what the max works with Dependents.

Re: About 1st and 2nd stimulus payment from IRS for kids

yzgm09 — Tue, 23 Mar 2021 16:21:27 GMT

Yes, I followed each step for this part, but got the following answer from turbotax for this part:

"We crunched the numbers and the amount you received looks right

Based on your combined gross income ($176,508) and the total stimulus payment you received ($3390), we are confident you got ever stimulus dollar you qualified for. "

It looks turbotax only calculated our payment, it forgot children's payment too.

And also, I checked line 30 in the 1040 form turbotax created, it is empty.

What should we do? It looks a bug in turbotax in children's stimulus payment?

Re: About 1st and 2nd stimulus payment from IRS for kids

NCperson — Tue, 23 Mar 2021 16:43:18 GMT

it is correct ; there is no bug - here is the math:

You are eligible for the GREATER of what you received in stimulus payments or what the 2020 tax return calculates. That is why the payments are called 'stimulus' but on the tax return it's called 'recovery credit'

you state you received $2244.50 and $1144.50, it does not matter how they were calculated using either your 2019 or 2018 tax return, but that is the cash you received. In total $3389.00

Based on your 2020 tax return, you are eligible for 2 taxpayers and 2 children. Since your income is $176,508, each of the two payments is reduced by 5% * 26, 508 or $1325.40. The credits are reduced if your 2020 income is over $150,000

for EIP1, you get $1200 + $1200 + $500 + 500 - $1325.40 or $2074.60

for EIP2, you get $600 *4 or $2400 - $1325.40 or $1074.60

that totals to $3149.20

Based on the information on your 2020 tax return, you are eligible for $3149.20 and you actually received $3399. Since the stimulus payments are greater than what is calculated based solely on your 2020 tax return, you are not eligible for more, so Line 30 is Zero.

You are also not required to return the excess; in other words Line 30 can never be negative.

does that make sense? the program is working correctly and your children were part of the calculation.

Re: About 1st and 2nd stimulus payment from IRS for kids

NCperson — Tue, 23 Mar 2021 16:47:45 GMT

and I should add, that you are not eligible for the 3rd stimulus at all. That is because that while the phase out begins at $150,000 similar to the first two stimulus payments, payments are totally phased out at $160,00 of income for the 3rd stimulus

Re: About 1st and 2nd stimulus payment from IRS for kids

yzgm09 — Tue, 23 Mar 2021 16:53:25 GMT

I see, that makes sense then. Thank you for your detail explanation on stimulus payment policy.

In addition, one minor question regarding my tax return: I did some donations to charity in 2020, which is around $2000 in total, when I put it into the turbotax, the tax return result does not change. It looks some policy I do not know regarding donation deductions?

Re: About 1st and 2nd stimulus payment from IRS for kids

NCperson — Tue, 23 Mar 2021 16:56:39 GMT

look at line 10b - you should see $300 there,

It is possible it didn't impact your taxes because of other tax credits you may be eligible for,

As long at you see the $300 on line 10b, you are fine

Re: About 1st and 2nd stimulus payment from IRS for kids

yzgm09 — Tue, 23 Mar 2021 17:00:16 GMT

It is empty in line 10b.