Did not receive stimulus payment for dependent and can not seem to claim on TurboTax

[Lily725]

My child was born in 2019, and due to an error in my filing of the 1040 for that tax year, we did not receive the full child tax credit and had to file an amended return.  I just recently had my 2019 amended return approved (after pending for 11 months), and am filing my 1040 for 2020 tax year now (filed an extension to allow for the 2019 amended return to be processed first).  Because the 1st and 2nd stimulus payments were based on my 2019 tax return, I only received the amount I was eligible for as per my 2019 AGI, and did not receive the extra $500 and $600 payments, respectively, for my dependent child because of the initial filing error from my 2019 1040.  When I file my 2020 1040 using TurboTax Deluxe software, I get a message at the end saying, "we crunched the numbers and the amount you received looks right", after inputting the actual amounts that I did receive in my 1st and 2nd stimulus checks.  Unfortunately, I can't figure out how to claim this extra $1,100 that I should be entitled to for having a dependent child.  Any help to point me in the right direction would be greatly appreciated.  Thanks!

[VolvoGirl]

Make sure your child is showing up as a dependent.  Do you have a high 2020 income?  Did you enter just the actual amounts you got in the 2 boxes?  You don't have an amount on 1040 line 30?  

Do you have any other children?  Like maybe one that turned 17?

The Recovery rebate credit is really based on your 2020 income and situation.  If you do not qualify for the Recovery Rebate Credit because of your 2020 tax situation then you will not be able to get the missed stimulus payment.

[Lily725]

Thanks for the reply, @VolvoGirl. The first 2 stimulus payments were based on my 2019 tax filing as I had not yet submitted my 2020. Based on 2019 AGI, I fell in the "tapering off" category of stimulus eligibility as I received a payment, but not the full amount.  I researched into how that affected a claimed dependent, and even though my personal stimulus was a reduced amount, I should still have been eligible for the full amount of the additional dependent payment (I believe this changed with the 3rd stimulus package). Anyways, I never got the payment because my amended 2019 return was still waiting to be processed when I received both 1st and 2nd stimulus, so that was based on my incorrect initial 2019 filing where it would have shown my child not having lived with me the whole year.

To answer your other questions, yes, I put the actual amount I received in both of the boxes within TurboTax.  No other children/dependents, this was our first child, hence the screw up in filing properly. I was eligible for the recovery rebate credit, but my assumption is that TurboTax is still pulling info from my original 2019 filing (with the error), so I just need to find out how to get that $1,100 back.  Any idea if this is something TurboTax can do, or if I will just have to file as is and then create a new amended return once my initial is accepted, and write in the explanation box my unique situation?

Thanks in advance for any feedback from you or anyone else who may chime in.

[VolvoGirl]

Sounds like you are in the phase out amounts.  Forget about 2019.  As I said if you do not qualify for the Recovery Rebate Credit because of your 2020 tax situation then you will not be able to get the missed stimulus payment.  

See question 1 Eligibility

https://www.irs.gov/newsroom/recovery-rebate-credit-topic-b-eligibility

The eligibility requirements are the same for the Recovery Rebate Credit as they were for the Economic Impact Payments except that the credit eligibility and the credit amount are based on your 2020 tax year information.

[Hal_Al]

Despite the fact that the first two stimulus payments were sent out based on 2019 tax returns; eligibility is technically based on your 2020 tax return.  So if you missed getting the advance payments, and your 2020 income is too high, you are not eligible.

But, if you were sent any advance payments (i.e. the $1200 and $600 payments for yourself), you are not required to pay those back.

[Lily725]

@Hal_Al, @VolvoGirl thanks for your replies. I see what your saying about the recovery rebate credit being based on 2020 filing,  but my 2020 AGI would still have me eligible for the full $500 dependent payment from the 1st stimulus and a partial amount of the $600 dependent payment from the 2nd.  Just not sure how I go about getting this. 

[Critter-3]

To claim the credit in TurboTax, please follow these steps:

1. Log into TurboTax.
2. After entering all your information click "Federal Review" at the top of your screen (or click "Search" and type "Stimulus" and follow the jump to link). 
3. On the screen "Let's make sure you got the right stimulus amount" click "Continue".
4. You will be asked about the amounts of first round and second round stimulus payments you received.  If you did not receive a payment enter "0".
5. TurboTax will then calculate the amount of stimulus payment remaining that you are still entitled to get. 
6. Any stimulus amount remaining due to you will show as a credit on line 30 of the 1040.

[Hal_Al]

@Critter-3  @VolvoGirl User says "my 2020 AGI would still have me eligible for the full $500 dependent payment from the 1st stimulus and a partial amount of the $600 dependent payment from the 2nd".

Is that even possible; to be fully eligible for one and in the phase out range for  the other?

[Critter-3]

Yes ... the phase out ranges were lowered  each time a stimulus was released ...   https://www.kiplinger.com/taxes/601971/how-your-second-stimulus-check-will-differ-from-the-first-one

The second stimulus check has different income limits versus the first stimulus check. The first stimulus check was based on your 2018 or 2019 taxes, if you had filed them. But the second check is based solely on your 2019 taxes. That means if you got a new job or earned more money between 2018 and 2019, you may be in the upper limit, and receive only a partial check. 

If your adjusted gross income (AGI) is below,

• $75,000 for individuals
• $112,500 for heads of household
• $150,000 for married, joint filers

You should receive $600 per individual plus $600 per qualifying child.

For filers with income above those amounts, the payment amount is reduced by $5 for each $100 above the $75,000/$112,500/$150,000 thresholds. This means:

• An individual without children will not receive any payment if their AGI exceeds $87,000
• A couple without children will not receive any payment if their AGI exceeds $174,000
• A family of four will not receive any payment if their AGI exceeds $198,000

[Hal_Al]

Although the 2nd stimulus had a higher AGI range, that was for the advance payments (stimulus/EIP).

For the Recovery Rebate Credit (essentially missed stimulus payments), claimed on the 2020 tax return, the phase-out is not applied separately to the payment for a dependent. It's applied to the total payment for the taxpayer, spouse if joint, and dependents. So you can't really say that someone is getting a partial amount for a dependent. They are getting a partial amount of the total payment.  Look at The Recovery Rebate Credit Worksheet that TurboTax prepares (abbreviated "Recov Rebate Cr" on the forms list).

[rjs]

The top of the phase-out range for the second payment is lower than for the first payment, but the beginning of the phase-out range is the same for both payments. Both payments start to phase out at the same income level. So if the second payment is partly phased out, the first payment is also partly phased out. It is not possible to have a full first payment and partial second payment.

It is possible for the second payment to be completely phased out, to zero, but still get a partial first payment, because the phase-out range for the second payment ends at a lower income level than the first payment.

For example, for married filing jointly with no dependents:

• The first payment starts to phase out at AGI of $150,000, and is completely phased out at AGI of $198,000.
• The second payment starts to phase out at AGI of $150,000, and is completely phased out at AGI of $174,000.

Calculating My First Economic Impact Payment

How much will the second Economic Impact Payment be?

[jorjalynn1951]

I received all of my stimulus payments, including my 2021 stimulus.  I have my grandson now and am claiming him as my dependent.  I am able to claim the Child Tax Credit, but don't know where to claim his stimulus due in 2021.

I would appreciated any help with this.

Thank you.

Leila Cookingham

[VolvoGirl]

It should automatically give you the 1,400 stimulus if you qualify.  When you go though the questions it will ask if you got 4200 for the 3rd Stimulus (1400 for 3 of you).  You say NO and enter 2800 you did get.  Then 1400 will be on 1040 line 30 for the Recovery Rebate Credit.

To get to the stimulus questions in TurboTax at any time, you can search for stimulus or recovery rebate credit then hit ENTER and there should be a Jump to link

If you are trying to trigger it,
Click on Other Tax Situations at top
Click on Let's get started
Answer some questions then Continue
Then click on Let's keep going
Next screen is for the Third Stimulus, if you qualify