topic wrong recovery credit in Deductions & credits

wrong recovery credit

khubert805 — Tue, 19 Oct 2021 17:48:50 GMT

I was notified by the IRA that the recovery rebate credit I (turbo tax) used was wrong or an error. I now owe another $1300+. How would it be wrong? TT created that number.

Re: wrong recovery credit

DoninGA — Tue, 19 Oct 2021 17:49:33 GMT

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...

Re: wrong recovery credit

khubert805 — Tue, 19 Oct 2021 17:58:21 GMT

I've logged in and looking for stimulus payments..can't find any.

I did report a number in line 30: $2122.

Re: wrong recovery credit

DoninGA — Tue, 19 Oct 2021 18:09:15 GMT

@khubert805 wrote:

I've logged in and looking for stimulus payments..can't find any.

I did report a number in line 30: $2122.

You logged onto your tax account on the IRS website and it indicates you did not receive any stimulus (Economic Impact) payments? - https://www.irs.gov/payments/view-your-tax-account

Example from a tax account -