Economic third stimulus

Forum|Forum|4 years ago
March 28, 2022
2 replies
4 views

Why does the application consider the third stimulus payment as an additional tax when I qualify for the full $2800? (did receive the $2800.00

AliciaP1

Level 13

TurboTax does not automatically populate the amount you received for the 3rd stimulus payment - as you noticed when you needed to input the amount. Instead, it assumes your payment amount is $0 (since the box is empty until you populate it) and estimates the full amount included in your refund. When you complete the box with the amount you already received, it is merely removing that amount from your refund to properly reflect that you already received. It is not calculating it as taxable.

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Bernie1181Author

Level 2

I don't believe your response is accurate. In two returns that I recorded in Turbo Tax, the application recorded the amount received as the Third Stimulus payment as an additional tax as shown on line # 23, Other Taxes of Form 1040. I believe line B1 (B2 for joint return) of the "Smart Worksheet for :Schedule 8812: Additional Child Tax Credit were populated with the amount of the Third Stimulus payment received resulting in the additional tax.

xmasbaby0

Level 15

@Bernie1181 Did you confuse the $2800 stimulus payment that was shown on your letter 6475 with the advance child tax credit payments shown on letter 6419? There is no reason that the $2800 3rd EIP payment should have been put on form 8812 for the child tax credit. You may have entered the EIP payment in the wrong place. You need to enter that in Federal Review for the recovery rebate credit. If you received all of the 3rd EIP that you are eligible to get then line 30 of your Form 1040 should be blank.

You only need to enter the advance child tax credit payments you received from July to December on 8812. Then the remaining half of the child tax credit you can receive will show up on line 28.

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