A Turbotax software glitch appears to have claimed a $1200 recovery rebate which I did not ask for and which has jammed up my return. TurboTax jacked up my return?

[scott5596]

I have come to this conclusion after several appointments and phone calls with the IRS. What the heck is going on?

[rjs]

What's probably going on is that, when TurboTax asked you about the stimulus payments that you received, you said that you did not receive the first stimulus payment of $1,200.

If it's true that you did not receive the payment, then TurboTax was correct to include the Recovery Rebate Credit on your tax return.

If you actually did receive the payment, but you told TurboTax that you didn't, then your incorrect input caused TurboTax to claim a credit that you are not entitled to. The IRS knows what stimulus payments they sent to you. If they sent you the first stimulus payment, but you said you didn't get it, they will adjust your tax return to remove the credit and reduce your refund.

I believe the IRS is manually checking all tax returns that claim the Recovery Rebate Credit, so that can delay your refund.

[fanfare]

My niece filed early, claimed her rebate and it went right through promptly.

Then strangely the IRS slowed down and started holding up millions of refunds.