Child Tax Credit - FTC vs. FEIE

[jtprice86]

Hello, I'm an expat who until this year took the FEIE. I have now elected to take the FTC and will continue to do so. Is it possible to amend 2020 and 2019 tax returns and use the FTC rather than the FEIE to claim a refundable child tax credit? I appreciate your thoughts.

[ErnieS0]

Yes. You can revoke your choice for any year. You do this by attaching a statement that you are revoking one or more previously made choices to the return or amended return for the first year that you do not wish to claim the exclusion(s). 

You must specify which choice(s) you are revoking. You must revoke separately a choice to exclude foreign earned income and a choice to exclude foreign housing amounts.

If you revoked a choice and within 5 years again wish to choose the same exclusion, you must apply for IRS approval. You do this by requesting a ruling from the IRS.

Mail your request for a ruling, in duplicate, to:

Associate Chief Counsel (International)
Internal Revenue Service
Attn: CC:PA:LPD:TSS
P.O. Box 7604
Ben Franklin Station
Washington, DC 20044

Revoking the Exclusion

[jtprice86]

Hello, 

Thank you for your reply. Understood on the revocation. I believe when completing an amended return within TurboTax, that I am able to make a statement directly within Turbotax? Or do I need to type up something separately on an A4 paper for example, when I mail my amended returns? 

One further question. I've previously gone onto TurboTax and tried to amend my choice from claiming the FEIE to the FTC. I can't seem to get it work out as intended. Do you know of any helpful hints, literature, etc. I can read/follow to successfully change from claiming the FEIE to the FTC? 

Regards, 

John 

[jtprice86]

Hello, 

I wanted to clarify the years I could amend tax returns for taking the FTC vs. the FEIE. 

It's now 2022 and 2021 taxes were just completed. I'm assuming I can amend the 2020, 2019, and 2018 taxes? The 2018 taxes were filed on 4/4/2019.

***Does this still fall within the "three years following the date you filed your original return"? Technically it was 3 years + 25 days ago.

Turbotax simply doesn't give me the option to do anything with 2017 taxes or earlier, which makes sense as it's clearly more than 3 years back, but it still gives me the option to amend as far back as 2018. 

https://turbotax.intuit.com/tax-tips/family/child-tax-credit/L9ZIjdlZz

"If you were eligible to claim the Child Tax Credit on prior year returns but did not do so, you can still claim it in certain cases. You claim this credit on prior year returns by filing an amended tax return. In most cases, you're allowed to file amended tax returns for three years following the date you filed your original return or two years from the date you paid the tax, whichever is later."

[Critter-3]

It is now too late to file a 2018 tax return for a refund.  That had to be filed by 4/15/2022.