Recovery Rebate Credit

[Kslewis22]

Hello Everyone,

When the first stimulus bill passed earlier this year, I received the standard $2400 for my wife and myself, in addition to an extra $500 for our 2 year old daughter. In September, we welcomed our 2nd daughter. After reading details of the Recovery Rebate Credit, I'm wondering if we will be eligible to receive an additional $500 from the first stimulus bill for our daughter born in September, in addition to claiming an additional $600 from the most recently passed bill assuming that they will only send us $1800 based on our previous tax returns still being utilized? 

Thanks!

-Shane

[xmasbaby0 · Accepted solution]

Claim the child born in 2020 on your 2020 tax return---wait until the dust settles on the second stimulus and do not be in a hurry to file--wait until at least late February---then you can get the extra stimulus money for the children.

The stimulus check is an advance on a credit you can receive on your 2020 tax return.  If something went wrong or you did not get the stimulus check this year, you can get it when you file your 2020 return in early 2021—if you are eligible.It will end up on line 30 of your 2020 Form 1040.

https://www.irs.gov/newsroom/economic-impact-payment-information-center-topic-j-reconciling-on-your-...

https://www.irs.gov/coronavirus/coronavirus-tax-relief-and-economic-impact-payments-for-individuals-...

https://ttlc.intuit.com/community/tax-topics/help/how-will-the-stimulus-package-impact-me/00/1393859

[Critter-3]

Just follow the interview ... everyone will see this screen in the Federal Review tab ...  once the second stimulus info is added you will get any amount you are still owed from both payments. 

The question about the amount you got in the advance stimulus payment doesn’t happen until the END of the interview.  By then the program has already calculated the credit and has included the amount in the refund meter you see at the top of the screen.   UNTIL you get to that screen where you can indicate how much you actually got in the ADVANCE payment the program cannot know what the correct amount really is.  So once you enter in that amount the program adjusts the credit accordingly depending on how much you already got and the refund meter will change appropriately.  

Hot off the press ... straight from the horse's mouth ...

https://mail.yahoo.com/d/folders/1/messages/AKaCGGNoZ5dQX-vD5Qh0EP67mQ4

[Bsch4477]

When you file your 2020 return all that will be reconciled. 

[jenle99]

I am concerned about the rebate recovery credit that shows on line 30 of my Form 1040 in Turbo Tax.  I received the $1200 and the $600 checks, and from what I read, it seems that the credit is for those who did NOT receive what they were supposed to in stimulus. I'm still getting a credit! Is this correct? I've doubled checked the questions and answers.

[jenle99]

I also have a 16 year old dependent.  Should I include the $600 stimulus for dependents with mine for a total of $1200 in December?  If so, I'm still getting a credit. Thank you

[DawnC]

All you need to enter is the amounts you received for the first and second payments.   If you received $1200 and then $600, enter those two amounts in the appropriate boxes.   If you have a 16 year dependent on your 2020 tax return, you will receive a recovery rebate in the amount of $1100 ($500 for the first and $600 for the second).   @jenle99

[77labonte]

I have the same question. My turbo tax gave me a  $1200.00 tax credit on line 30. This gave me a refund of $487.00. I never got the refund. I contacted IRS. They said I had no refund coming. Instead I owed them $ 713.00. So I don't  know why turbo Tax put that $ 1200 on line 30. I answered all the questions correctly. Does anyone have an answer for that?

[77labonte]

I agree. Turbo Tax gave me a credit of #1200.00 on that line and got me in trouble. I in fact did not have any refund coming. I owed them money instead.