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I have a little bit of a confusing situation here that I could REALLY use some help on. It is regarding the first two stimulus payments (the $1,200 one and the $600 one). In 2019 I was claimed by my parents, but I am 19 years old so they never received any money for me. In the beginning of 2020 I moved out and am all on my own, making me independent and I should have been eligible for the missing money, but when I filed my 2020 taxes through turbotax I never got the option to add the missing money and I ended up just filing my return without it. Then someone told me I could amend my taxes for it, and so today I tried it but when I get to the stimulus screen it gives me a message saying that I am eligible for the money, so I click "continue" then it says "you no longer qualify for the self-employment tax deferral".
The only self employed job I have is Doordash and I do that on the side, but I do write off milage on my taxes so I don't have to pay back so much from the money I made from Doordash. Is Doordash what made me ineligible for the stimulus payments?
When I helped my girlfriend do her taxes the option to apply her missing stimulus money came right up and added to her refund no problem. I haven't received my third stimulus yet either. Any help is greatly appreciated on this because I have no reason why I shouldn't have gotten this money. Thank you
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First, you are eligible as an independent taxpayer for the stimulus payments when income is under $75,000 for single filers, even with self-employed income, such as income from Doordash. The ineligibility to defer self-employment tax does not impact eligibility for the stimulus payments. People with tax balances due, not refunds, are eligible to defer self-employment.
If you do have the Recovery Rebate Credit Worksheet in your filed return, do not file an amended return. The IRS will automatically recalculate your correct stimulus payments. See the answer to question 2 from the IRS: 2020 Recovery Rebate Credit — Topic G: Correcting issues after the 2020 tax return is filed | Intern...
If you do not have the Recovery Rebate Credit Worksheet in your filed return, file an amended return. See: How do I amend my 2020 TurboTax Online return?
To adjust the stimulus payments, follow these steps after the Amended return is triggered. This sequence is imperative so that Form 1040-X shows the original filing correctly.
Once the Amended Return is started, the steps to update your stimulus are:
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