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Anonymous
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I am married filing separately and claimed the recovery rebate credit in 2021. IRS disallowed and and had to repay it. Why would this be?

I met the income requirements and have no dependents.  IRS letter cited inconsistencies with dependent information.
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3 Replies

I am married filing separately and claimed the recovery rebate credit in 2021. IRS disallowed and and had to repay it. Why would this be?

If your refund is short $1,400 then that is because you said you did not receive the 3rd stimulus payment and the IRS has records that show you were sent the 3rd stimulus payment so they removed the $1,400 Recovery Rebate Credit that was entered on Form 1040 Line 30.


Go to this IRS website for your tax account to see if the 3rd stimulus payment is entered - https://www.irs.gov/payments/your-online-account


If you checked your bank account in the March - May 2021 timeframe and there is not a $1,400 EIP3 payment from the IRS then go to this IRS website for how to start a trace on the payment - https://www.irs.gov/newsroom/questions-and-answers-about-the-third-economic-impact-payment-topic-j-p...

I am married filing separately and claimed the recovery rebate credit in 2021. IRS disallowed and and had to repay it. Why would this be?

@Anonymous - you were eligible for the recovery rebate or the 3rd stimulus but NOT both.  

 

did you receive the $1400 during MArch - MAy, 2021? check you bank account statements. 

 

if the IRS removed the $1400 from Line 30 of your 2021 tax return, that means their records reflect they sent it to you already.  

 

what did you submit on Line 30 of Form 1040?

 

did you and your spouse receive $2800 in  March - May, 2021? then you can't get the $1400 on Line 30 of Form 1040..

I am married filing separately and claimed the recovery rebate credit in 2021. IRS disallowed and and had to repay it. Why would this be?

Did you file Joint in 2020?  Maybe you got a single 2800 payment for both of you.  Did you each get a IRS letter 6475 for 1400?  Double check your bank statements and Check your IRS account to see when and what they sent you (check both spouse's accounts if married)

Your Online Account | Internal Revenue Service

 

1040  Line 30 (Recovery Rebate Credit)is only if you didn't get the 3rd Stimulus payment  or qualify for more.

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