I am trying to figure out the rebate for the third stimulus issued around March 2021 for my particular situation. I’ve searched around a lot, but I still haven’t found a concrete answer…
I was (rightfully) claimed as a dependent by my parents for the 2019 and 2020 tax years. Because of that, my parents received an additional $1400 in March 2021 from the third stimulus because according to 2019/2020, I was their dependent.
For the 2021 tax year, I am now independent, will claim my own standard deduction, and they will not be claiming me on their 2021 taxes. Does this mean I am eligible for the $1400 stimulus since it did not go directly to me in March 2021? If I am eligible, will this be seen as double dipping since my parents received $1400 on my behalf in March 2021? Will my parents have to owe the $1400 for it to be issued to me?
Thanks in advance!
Yes, you should be eligible for the $1400 payment if you met the other requirements.
Here is a quote from the IRS FAQs on this topic:
"No longer a dependent: Individuals who were claimed or could be claimed as a dependent on someone else’s tax return for 2019 or 2020 may now be eligible if they can’t be claimed as a dependent on someone else’s tax return for 2021."
The excerpt is from Q C3. Click here to see the full page.
Yes, you should be eligible for the $1400 payment if you met the other requirements.
Here is a quote from the IRS FAQs on this topic:
"No longer a dependent: Individuals who were claimed or could be claimed as a dependent on someone else’s tax return for 2019 or 2020 may now be eligible if they can’t be claimed as a dependent on someone else’s tax return for 2021."
The excerpt is from Q C3. Click here to see the full page.
I have the SAME EXACT question as you. Have also been looking for a concrete answer. Have you found anything else out?
Thanks!
@FourtyDeuce, as JulieS stated above, if you are filing your own tax return this year as compared to being dependent for the prior year, you can still claim the third stimulus payment. Additionally, your parents will not be required to payback the amount they received.