Should I received the $500 for my dependent on my stimulus check if my son is 16 years old

[mlk66]

If I should have received it and didn't what is my next step?

[macuser_22]

It is the age he will be at the end of 2020.     Must be born in 2004 or later to qualify.

[NCperson]

@macuser_22 -  I understand why you wrote that the child has to be born in 2004; it is logical given the payment is an advance on 2020 tax year...  have you seen that written by the IRS anywhere?\

this is from the FAQs... while it's not directly on point, it is about someone who is 16 years old in 2019 (and hence would have be in born in 2003).  It infers  the IRS is paying the $500 for children born in 2003. 

https://www.irs.gov/coronavirus/economic-impact-payment-information-center

Q16. I received an additional $500 Payment in 2020 for my qualifying child. However, he just turned ...

A16. No, there is no provision in the law requiring repayment of a Payment. When you file next year, you can claim additional credits on your 2020 tax return if you are eligible for them, for example if your child is born in 2020. But, you won’t be required to repay any Payment when filing your 2020 tax return even if your qualifying child turns 17 in 2020 or your adjusted gross income increases in 2020 above the thresholds listed above

thanks 

[macuser_22]

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@NCperson wrote:

@macuser_22 -  I understand why you wrote that the child has to be born in 2004; it is logical given the payment is an advance on 2020 tax year...  have you seen that written by the IRS anywhere?\

The IRS - no I have not.

I am referring to the law - §2201 of the CARES act that states in §a that this is a credit for the tax year beginning in 2020 and then §(a)(2) that states  "an amount equal to the product of $500 multiplied by the number of qualifying children (within the meaning of section 24(c)) of the taxpayer."

The §24(c) referred to is the Child Tax Credit sections that says the child "has not attained age 17"

Since the "tax year' as stated in the CARES act is 2020 then to be under 17 the child cannot be born before 2004 (2020 - 2004 = 16).

(I say 2004 because that is easier than explaining that the child must be under age 17 at the end of 2020 just line the Child Tax Credit).

[NCperson]

@macuser_22 - thank you... I understand all that logic and the CARES Act, but I don't believe that is what the IRS is doing.... because of the FAQ i referenced.  

the question is when parents get $500 for a 16 year old this year, will they have to pay it back next year - and the answer is "no".  But the inference is the IRS is paying out $500 for qualified dependents based on their 2019 age (otherwise why even write the FAQ in the first place!!) , even though we both know 16 years old in 2019 would not be eligible in 2020 as a 17 year old. 

[macuser_22]

I read that FAQ to mean that if they "improperly" received $500 that should not have been paid then they do not have to pay it back.

From all the "my child was 16 in 2019 and I did not get $500"  posts that I have seen, i suspect that the IRS is indeed looking at the date of birth when they have it available.

[NCperson]

@mlk66 - 

(@macuser_22 and I have a current difference of opinion as you can see above, but suggest pursuing this now as @macuser_22  both agree that your son won't be eligible for the stimulus on your 2020 tax return) 

please review the tax return that you filed 

look at where their names are listed on the return.  OVER TO THE RIGHT in column 4, there is a check mark in either the column marked "child tax credit" or "other dependent tax credit". 

if the check is under "child tax credit", then it's an IRS error.  

if the check is under "other dependent tax credit" and the child is under 17, then there is something you did incorrectly when answering the questions when the form was filled out.  Any way to go back and see what may have been answered incorrectly.  Suggest having someone watch over your shoulder. 

Post back what you find and we can go from there. 

[mlk66]

Child tax credit is checked.

[NCperson]

@mlk66  . 

@macuser_22 

options:

1) wait a few weeks and see if the IRS sends more money

2) wait a few months until the IRS call centers are back on line and you can talk to someone

there is one other school of thought on this issue.... which @macuser_22 subscribes to, but I haven't been convinced of yet.

Technically, these stimulus payments are a credit against the 2020 tax returns to be filed next year.  Obviously, next year, your son will be 17 and not eligible for the stimulus.  It is possible that the IRS is not paying out on those that are 16 in 2019 because they will be 17 and not eligible for the year 2020, which is the year that really counts.  That is something that has not been well advertised if that is what the IRS is doing.  

[19xislander59]

It doesn’t appear that TurboTax addresses the dependent rebate at all. I did not receive either stimulus for my daughter, born in 2004and met all other criteria. You may , like me, have to not file with TurboTax this year.

[DMarkM1]

TurboTax Online appears to be accounting for dependents, when calculating the Recovery Rebate Credit. 

In the "Personal Info" section be sure dependent birthdates show as 2020 or later for dependents and in the "Federal Review" tab enter the amounts received in each stimulus round to only include the parent(s); $1200 (2400 for Married filing jointly) and $600 (1200 for married filing jointly) respectively. 

Assuming you meet the income requirements, that should result in a credit being added to the return.  

Here is a link for more help verifying calculations.  If the calculations still do not add up, you may consider describing your entries in this forum for more specific help.     

[MoneyMike13]

My child was born May 19th 03, which would obviously put him at 17 in 2019. The irs gave the stimulus to some of us that had kids in 03 as to where others only gave it to people who had a child in 04. I was o e of the unlucky ones lol. But that is being corrected because if your child was born In 03 then you should have received the money. How? Simple because when Trump signed the bill it read as follows. Parents or Guardians will only be able to collect the additional money if their child was 16 or younger when the parent submitted their 2019 tax returns.  So my point is this my child was 16 for half of 2020 and I came out of pocket for everything that child needed. Not to mention I filed my taxes in Feb 2020 my child turned 17 in May 2019 so therefore I filed my taxes 3 months before my child turned 17. So if you go by the word signed into law. The irs owes a lot of people they cheated out of 1,100. I've been arguing with the irs all year about it and at the end of the day the irs was trying to cut corners to save money that wasn't even theirs while a lot of families could have used that money. They new exactly what the bill said they were wishing  No one would  notice. I'ma get mine lmao.

[xmasbaby0]

@MoneyMike13 Sorry but you are misinterpreting the tax law.   It does not matter that the child was under 17 for part of the year.   The age of the child at the END of the tax year is what matters.    If your child was 17 before the end of the tax year then you were not eligible for the child tax credit OR the 1st or 2nd stimulus payment.    The rules changed for the 3rd stimulus and for the child tax credit for 2021.    If you claimed any dependent for 2021 you could get the $1400 3rd stimulus amount and you can get the child tax credit for a child who is your dependent if the child was NOT 18 years old before 2021 ended.

The rules for the 1st and/or 2nd EIP payment for a dependent child claimed on your tax return followed the same rules as the child tax credit for 2020.   The dependent had to be YOUNGER than 17 at the END of 2020 to be eligible for the payments of $500 and $600.   If your child was older than 16 at the end of 2020 you are not eligible for the $1100.  

From the IRS---criteria to get the recovery rebate credit for a qualifying child:

Qualifying child: You welcomed an eligible child in 2020 who was under the age of 17 at the end of 2020.

The IRS is not "cheating" you---the IRS is following the law as written and passed by Congress.

Rules for child tax credit on a 2021 return:

Q B3. Who is a “qualifying child” for purposes of the 2021 Child Tax Credit? (added June 14, 2021)

A3. For tax year 2021, a qualifying child is an individual who does not turn 18 before January 1, 2022, and who satisfies the following conditions:

1. The individual is the taxpayer’s son, daughter, stepchild, eligible foster child, brother, sister, stepbrother, stepsister, half-brother, half-sister, or a descendant of any of them (for example, a grandchild, niece, or nephew).
2. The individual does not provide more than one-half of his or her own support during 2021.
3. The individual lives with the taxpayer for more than one-half of tax year 2021. For exceptions to this requirement, see IRS Publication 972, Child Tax Credit and Credit for Other Dependents PDF.
4. The individual is properly claimed as the taxpayer’s dependent. For more information about how to properly claim an individual as a dependent, see IRS Publication 501, Dependents, Standard Deduction, and Filing Information. PDF
5. The individual does not file a joint return with the individual’s spouse for tax year 2021 or files it only to claim a refund of withheld income tax or estimated tax paid.
6. The individual was a U.S. citizen, U.S. national, or U.S. resident alien. For more information on this condition, see IRS Publication 519, U.S. Tax Guide for Aliens. PDF