Step by Step - How to Fill Out the Recovery Rebate Credit Worksheet Part 1
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- Опубліковано 17 січ 2021
- In this video, I go over, in step by step detail The Recovery Rebate Worksheet and calculate your eligible Recovery Rebate credit for 2020.
What is the Recovery Rebate Credit?
The Recovery Rebate Credit is authorized by the Coronavirus Aid, Relief, and Economic Security (CARES) Act and the COVID-related Tax Relief Act. It is a tax credit against your 2020 income tax. Generally, this credit will increase the amount of your tax refund or decrease the amount of the tax you owe.
The Recovery Rebate Credit was eligible to be paid in two rounds of advance payments during 2020 and early 2021. These advanced payments of the Recovery Rebate Credit are referred to as the first and second Economic Impact Payments.
Individuals who received the full amounts of both Economic Impact Payments do not need to complete any information about the Recovery Rebate Credit on their 2020 tax returns. They already received the full amount of the Recovery Rebate Credit as Economic Impact Payments. You received the full amounts of both Economic Impact Payments if:
Your first Economic Impact Payment was $1,200 ($2,400 if married filing jointly for 2020) plus $500 for each qualifying child you had in 2020; and.
Your second Economic Impact Payment was $600 ($1,200 if married filing jointly for 2020) plus $600 for each qualifying child you had in 2020.
Who can claim the Recovery Rebate Credit?
Eligible individuals who did not receive the full amounts of both Economic Impact Payments may claim the Recovery Rebate Credit on their 2020 Form 1040 or 1040-SR. To determine whether you are an eligible individual or the amount of your Recovery Rebate Credit, complete the Recovery Rebate Credit Worksheet in the Instructions for Form 1040 and Form 1040-SR.
Generally, you are eligible to claim the Recovery Rebate Credit if you were a U.S. citizen or U.S. resident alien in 2020, cannot be claimed as a dependent of another taxpayer for tax year 2020, and have a Social Security number valid for employment that is issued before the due date of your 2020 tax return (including extensions).
You must file Form 1040 or Form 1040-SR to claim the Recovery Rebate Credit even if you are normally not required to file a tax return. Anyone with income of $72,000 or less can file their Federal tax return electronically for free through the IRS Free File Program. Free File is a public-private partnership between the IRS and many filing and tax preparation software providers who provide their brand-name products for free. The safest and fastest way to get a tax refund is to combine electronic filing with Direct Deposit.
Form 1040 and 1040-SR Instructions - Recovery Rebate Credit Worksheet
If eligible, you can claim the Recovery Rebate Credit when you file your 2020 tax return (Form 1040 or Form 1040-SR) electronically using tax software or on paper. The 2020 tax return instructions include a worksheet you can use to figure the amount of any Recovery Rebate Credit for which you are eligible. The worksheet requires you to know the amounts of your Economic Impact Payments.
Your Recovery Rebate Credit amount will be phased out if your adjusted gross income for 2020 exceeds $150,000 if you are married filing a joint return or filing as a qualifying widow or widower, $112,500 if you are using the head of household filing status, or $75,000 if you are using any other filing status.
How do I find the amounts of my Economic Impact Payments?
IRS letters
You should have received IRS Notice 1444 for the first Economic Impact Payment, and you should receive Notice 1444-B for the second Economic Impact Payment. Refer to them when completing your 2020 tax return. If eligible for the Recovery Rebate Credit, you will use the information from these letters to determine the amounts to include on the Recovery Rebate Credit Worksheet or in your tax preparation software to help you calculate your credit amount.
Get the information you need from your account
Log in to your Federal tax account information online to view what you may need when you electronically file your 2020 tax return (Form 1040 or Form 1040-SR). Two important reasons to have an account now are:
In the coming weeks, individuals with an account on IRS.gov/account will be able to view the amounts of the Economic Impact Payments they received.
Some people will need the amount of their adjusted gross income from 2019 if they use different software to file their tax returns for 2020.
Be sure you have this important information that you'll need to file your tax return for 2020 by visiting Secure Access now to prepare and set up your own Federal tax account online.
Please note that this video is for information purposes only and is not intended to provide or relied upon for tax, legal, or accounting advice. Please consult your own CPA, tax advisor, legal and accounting advisors.
Hey Stephen, i love what youre doing, keep it up! College definitely didn't not teach me anything about taxes... But im still learning!
Thank you for the comment and words of encouragement!
Thank you very much. Your tuition is very very helpful. Thank you again
Thx
Can u make a video for non fillers living abroad who have not received any check nor the notice and registered in the non fillers get my payment tool? Thanks
Does this include the group that was left out of the first two stimulus payments? My son is will be 20 in June and he was employed but didn't received either. We also couldn't claim him as a dependent. He has received unemployment this year.
What if you were not employed in 2020 ? what do you write on the 1040 form ?
So if my parents claimed me in 2019 but in 2020 and they didn't do I need to fill this out to get the stimulus?
How long does the money take to be deposited in my account with direct deposit & can i track the status on it?
Hi, I would like to know if you file MFJ but the spouse has an ITIN and has 3 dependents with valid social security number. Would they qualify for the first and second stimulus payment ? If so how much would that be ?
if EIP 2 payment is missing, do you have to claim the credit or wait IRS to send replacement?
You will have to claim the missing payment via the credit.
On the first point, make sure you look into the IRS definition of a resident vs nonresident, since for tax purposes they differ from normal immigration definitions.
Thanks for teaching me more about this! Is the recovery rebate credit form available on like any tax software, or is it like an IRS thing?
Thank you for the comment and question. The recovery rebate should be available through all tax software.
hes not teaching shit hes trying to get clients.
Hey, had a question.
If I never qualified for the first stimulus but did fir the second one, as also had a child in 2020, how would I claim credit on the recovery rebate for my child born in 2020
Whenever I fill the form out, it seems to be giving me credit for the first stimulus check, whcih I never qualified for
Can this form be filed electronically with a service? Like HR Block or another efile service? Also, is there an efile provider on IRS.gov that you would recommend?
Thank you for the question. I don't believe the worksheet can filed electronically, it is a supplement for which you calculate what should go on Line 30 of your Form 1040. In regards to an electronic filing site, the IRS does have partnerships with a few programs: www.irs.gov/filing/free-file-do-your-federal-taxes-for-free
Yes you can e-file The recovery rebate credit I did mines through TurboTax. So yes you can file electronically it
@@ONeil-sincere I am doing my 2020 TAX return with HR Block the first time , same question, I qualify with this rebate $1200...where should I put? Line 30# of the form 1040 or 1040SR, that's it? so do I need to fill out other forms with notice 1444? No idea of this notice really, thanks.
I had to send in my 1040 and my driver's license to verify my identity. I left out a copy of my recovery rebate worksheet. Was I supposed to include it? Will it be rejected since it's not in there??
Thank you need this
Thank you for the comment!
@Johnathan Martinez not sure but if you did like child tax rebate you probably will
Get something nice not sure but I pray for you I know money is important to all of us these days.
@Johnathan Martinez well my hubby had to file amended tax return for $600 because he did not get 2nd one and I did free turbo tax which
You can do just for stimulus but the tax guy said everything is taking a while like 2 months sometimes put it on the back burner in your mind see if you can file like free turbo tax
On line it’s free but don’t mess it up I messed his up and than I had to hire tax firm to file amended tax return so they can get his 2nd 600 but the tax fiirm will take $100 soon and he may get $600 it’s so diffficult keep it on your mind but keep on living the best way the guy said sometimes it takes 3 months. I pray for you I know money is not a great subject for a lot of us right now. God will help you my brother
@Johnathan Martinez not so sure if you google this they will tell you for sure google has the info from iIrs
what can one do if someone claimed them on there taxes without there permission? like my social was stolen and someone claimed me on taxes if i file my own taxes and claim the recovery rebate for both stim checks would i receive them?
You should def. first report the stolen information to the IRS, please refer to one of my latest videos. If you qualified but did not receive the payments, then you should be eligible to claim the rebate.
@@simpleetax thank you for the reply
@@simpleetax thanks for the response i was on hold for 5 hours with the irs and finally got a hold of someone.I have to file my own taxes and claim recovery rebate and open myself up for audit.Just to prove im me
its sad that someone would do this to someone but its the world we live in these days
So if I never got paid any stimulus payments and I am eligible what do I put in the box? 0?
Thank you for the question. You should complete the worksheet to calculate what to put on Line 30.
Heu Stephen. How do I fill this out for someone who is incarcerated
where is the 1040 form on turbotax. i cant find it
The RRC worksheet is actually not a formal Form, but you can find it on page 59 of this link: www.irs.gov/pub/irs-pdf/i1040gi.pdf
how did I get the third but not first two. . .
Cares act law suit allows inmates to be eligible for EIP.. but my brother did not get his and it says payment status unavailable.. I was told I needed to do recovery's
Thank you for the question. Per the IRS FAQ site: "The Get My Payment application will return "Payment Status Not Available" if:
- You filed a tax return, but we haven't finished processing your 2019 return
- You don't usually file a return, and we don’t have enough information to issue you a payment
- You are not eligible for a payment
If you didn’t receive the full payment you’re eligible for, then you may be eligible to claim the Recovery Rebate Credit on line 30 of your 2020 tax return Form 1040 or Form 1040-SR."
How do I file to get my daughter 1 and 2 stimulus money? She is my dependent for 2019 and 2020 dependent and I already filed my 2020 tax return but the prepared person said his tax program doesn't had how to recover for her so we didn't get both stimulus money for her.
Thanks in advance
What if I already filed my taxes, can I still do this? My parents claimed me in 2019 but not this year will I still be able to get the stimulus?
Don’t know much but google a lot they answer a lot on google if you did your taxes good than you will get beautiful checks maybe soon. I can just pray for all of you guys God can help us all here he really does see what we are all going thru.
Hey Stephen I went to file my taxes and they did my recovery rebate credit and I didn’t get a 2nd stimulus. I’ve gotten my first one when it came out though. I check all the boxes and I qualify for the 2nd one. What can I do about it? I only got my tax refund and it didn’t come with the stimulus payment
.
Can someone who didn't receive any stimulus payments because they was a adult dependent on someone else's taxes for 2018 and 2019 file for the recovery rebate credit if they won't be claimed as a dependent for 2020
Great question. It depends, if such person is able to be claimed as a dependent for 2020 (i.e. financially dependent) by someone else, then they technically do not qualify.
@@simpleetax I'm 19 unemployed and not a student, my mom claimed me on her 2018 and 2019 tax return and got the stimulus payments for her and my younger siblings both rounds but didn't get anything for me because I didn't qualify because I'm a adult dependent, she won't be filing a 2020 return because she quit her job in April and I moved from home in April so I really want to file for the recovery rebate credit to get hopefully both stimulus payments but I don't want her to get in any trouble with the irs. I WILL NOT be claimed as a dependent . Can I file as 0 income tax return to get the recovery rebate credit?
Im a u.s citizen since 2015 but i never upgrade my legal status with SSA , i have a ss# not valid for employment which i used all these years to file taxes , thats why i never got my stimulus checks , should i use line 30 to claim it ?? I already have social security card valid for employment last jan 2021
Great question Les. Yes, you should def. claim the Recovery Rebate for any qualified stimulus you did not receive.
@@simpleetax thank you so much for your response!!
What if i already filed?
How can I apply for Recovery Rebate Credit if I get SSI and don't file taxes ? and how long the process will take after it file it ?
Thank you Nicole for the question. Please refer to my other response.
How about if i filed and i ralready received my income tax return for 2020 but i miss to fill out the recovery rebate worksheet..is there a chance for me to receive the stimulus 1 and 2...thank you very much
Yes, if you file an amended return.
I received 1st stimulus 1200. last June. Didn't receive 2 stimulus. Can I get information on what to do to get direct deposit? #2&3
I need help on 1444 &1040x.
Is child under 16 years of age with ITIN considered as qualifying child?
Thank you for the question. I don't believe so.
My parents has SSI but 2018 they filled tax return . But 2019 they did not fill tax return . Therefore they have not received $1200.00 for couple . Year 2020 they dont have income tax income. Their income is $0.00 but they have SSI for year 2020 . What we can do for them to get $1200.00 ? Thank you
Thank you for the post. I recommend for them to file a 2020 return and complete the Recovery Rebate worksheet.
@@simpleetax even no income from 2020 ? Thank you
@@andyly4170 Yes, you have to file even with no income !
Do u put $0 or $1 to claim stimulus on ssi?
@@lmccall67 $0
I thought that the stimulus was not to be used for any taxes owed. My husband said they never processed his 2019 return as well.
You know how the government lies !!
Hi Stephen, due date of 2020 tax return was June 15 ..not Apr 15
Thank you Sarath for the comment. The 2019 income tax return due date was extended to June 15, 2020. The 2020 income tax return due date has not yet been extended, it is still April 15, 2021, unless you file an extension. Thank you again for the question!
Thanks stephen for clarification.We did not receive first stimulus check amount due to mixed status..We filed 2019 tax with my wife ITIN in Feb 2020.My wife received SSN in May 2020 so now we both have SSNs..Can I get first stimulus amount as recovery rebate credit when we file 2020 tax return?
There is another scenario you didn't address. If you were entitled to the stimulus check but accidentally checked off you were a dependent of someone else. Then you would get neither the stimulus check nor would you get a letter from the IRS.
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C'mon! Don't waste our time! Don't call this video "step by step part 1" when it's really, "what qualifies you for the recovery rebate". I read all the qualifications already in the IRS manual.