Stimulus payments

Forum|Forum|5 years ago
March 6, 2021
1 reply
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We were informed today that instead of a 3200.00 fed refund, we now owe 1600.00 in fed taxes. It appears to be related to our 2400.00 stimulus checks. This is hard to understand. Can someone shed some light?

LenaH

If you were due a $3,200 refund and now owe $1,600, that is a $4,800 discrepancy. Did you receive that much in stimulus payments during the year and not report it on the recovery rebate form? If so, then TurboTax would have given you the credit in the amount of $4,800 on Line 30 of your 1040 Form.

If the IRS did indeed pay you the stimulus checks, then the Recovery Rebate Credit was calculated in error and the credit will be adjusted off your return, leaving you with the amount owed of $1,600.

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adconnetAuthor

I see on line 30 there is a recovery rebate credit of $4800. We received only $2400 in stimulus. What corrections could we make to our forms?

LenaH

If your return was accepted by the IRS, with an adjustment to the amount due, you should amend your return and enter the amount of stimulus received in TurboTax.

If you would like to amend your 2020 tax return, please follow the directions on the How do I amend my 2020 return?

Once you elect to amend, the recovery rebate form is found under the federal review tab in TurboTax. I am not sure of your family size and therefore, I am not sure if you were due any amount of the Recovery Rebate Credit. For additional information, please see the IRS website for the Recovery Rebate Credit.

To get to the recovery rebate form in TurboTax, you can follow these steps to enter information:

With your return open, search for stimulus with the magnifying glass tool on the top of the page.
Select the Jump to Stimulus in the search results to directly go to correct TurboTax page.

@adconnet

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