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  • $1400 Recovery Rebate Credit for Non-Dependents in 2021 (Who Were Depen

    From honda.lioness@gmail.com@21:1/5 to All on Sat Mar 19 20:02:53 2022
    I would appreciate confirmation from anyone who has looked into this:

    Those individuals, who

    -- were claimed as dependents in 2020

    -- but file as (bona fide of course) non-dependents in 2021

    are eligible to claim the Recovery Rebate Credit, right? The third round stimulus payment had one set of eligibility requirements. The Recovery Rebate Credit has another set of eligibility requirements. The (arguable) double dipping that may occur is the
    price of letting the floodgates of relief open to promote the integrity (such as it is) of the economy, and so on, correct?

    One citation: https://www.irs.gov/newsroom/2021-recovery-rebate-credit-topic-c-eligibility-for-claiming-a-recovery-rebate-credit-on-a-2021-tax-return

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  • From Bob Sandler@21:1/5 to All on Sat Mar 19 21:20:02 2022
    Those individuals, who

    -- were claimed as dependents in 2020

    -- but file as (bona fide of course) non-dependents in 2021

    are eligible to claim the Recovery Rebate Credit, right? The third round stimulus payment had one set of eligibility requirements. The Recovery Rebate Credit has another set of eligibility requirements. The (arguable) double dipping that may occur is
    the price of letting the floodgates of relief open to promote the integrity (such as it is) of the economy, and so on, correct?

    You are correct. Someone who is not a dependent in 2021 can
    claim the Recovery Rebate Credit on his 2021 tax return,
    even if someone who claimed him as a dependent for 2020 got
    a third stimulus payment for him. It's not a question of
    different eligibility requirements. The eligibility
    requirements are the same for the third stimulus payment and
    the Recovery Rebate Credit. The difference is that the third
    stimulus payment was based on 2020 tax returns, and the
    Recovery Rebate Credit is based on the 2021 tax return.

    Bob Sandler

    --
    << ------------------------------------------------------- >>
    << The foregoing was not intended or written to be used, >>
    << nor can it used, for the purpose of avoiding penalties >>
    << that may be imposed upon the taxpayer. >>
    << >>
    << The Charter and the Guidelines for submitting posts >>
    << to this newsgroup as well as our anti-spamming policy >>
    << are at www.asktax.org. >>
    << Copyright (2011) - All rights reserved. >>
    << ------------------------------------------------------- >>

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  • From honda.lioness@gmail.com@21:1/5 to All on Sun Mar 20 11:56:21 2022
    Bob Sandler, thank you once again for a concise, clear explanation.

    I also looked at the Form 1040 instructions for Line 30. They're crystal
    clear that a bona fide non-dependent in 2021 who was a dependent in 2020
    is lawfully entitled to the Recovery Rebate Credit.

    --
    << ------------------------------------------------------- >>
    << The foregoing was not intended or written to be used, >>
    << nor can it used, for the purpose of avoiding penalties >>
    << that may be imposed upon the taxpayer. >>
    << >>
    << The Charter and the Guidelines for submitting posts >>
    << to this newsgroup as well as our anti-spamming policy >>
    << are at www.asktax.org. >>
    << Copyright (2011) - All rights reserved. >>
    << ------------------------------------------------------- >>

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