TurboTax implying I have to accept the Recovery Rebate Credit even though I likely don't qualify

[cannonwilliams]

I filed as a dependent for 2019 as I graduated college in 2019 and was still claimed as such by my parent that year. Filing this year for 2020, I can now file as single independent. However, by entering that Turbo Tax thinks I qualified for and received stimulus checks but in actuality I received neither of the first two given my dependent status in 2019.

I have gotten to a page in my federal review that starts as "It looks like you qualified for the stimulus, did you get any payments?" And my options are yes or no. If I select no, which is true, it adds the Recovery Rebate Credit to my return with no option to clarify that I do not qualify. If I select yes I did receive the checks to try and clarify I did not qualify, it only gives me the option to put zero for both stimulus amounts received and then take me right back to the RRC screen.

I am almost certain I don't qualify for the RRC, but I know that there is a chance I could with my specific situation. My concern is that if they determine I do not qualify, if the IRS would not simply just take off the credit but would reject my entire submission and make me amend it or worse. Are there any suggestions on how I can proceed correctly given my situation/if it would make sense to keep the credit on even though I am unsure? Thank you.

[DMarkM1 · Accepted solution]

You are eligible now.  You should received the full amount of credit added to your tax return.  The Recovery Rebate Credit amount is based on your 2020 tax return information only.  Since you cannot be claimed as a dependent on someone else's 2020 return you are eligible for the credit. 

As you mention when you complete your tax return you are asked what, if any, stimulus payments you already received.  Since you filed as a dependent in your prior returns, you have not received any payments as you were not eligible then.  

Here is a link with more information on the Recovery Rebate Credit.