Recovery Rebate Credit

Forum|Forum|5 years ago
March 5, 2021
3 replies
20 views

I have a cleint, MFJ with three depednedts under the age of 17. They did not receive the EIP1 or EIP 2 in 2020, as they made too much money in 2018 and 2019. But in 2020, they made a shade over $150,000. It is my understanding that they should be eligible for the Recovery Rebate Credit. I don't seem to be able to get the credit to generate proplery. Anyone run into this? Thank you.

Lacerte Tax

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Just-Lisa-Now-

Intuit Community Champion

Did you enter zeroes on lines 16 and 19 of the RRC worksheet?

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pvanschuylerAuthor

Level 2

Are you referring to entering -1 if they did not receive the payments?

Just-Lisa-Now-

Intuit Community Champion

Sorry, I didnt realize this was Lacerte....Im a PS user

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George4Tacks

Level 15

@pvanschuyler Did you enter-1 in each of the 4 entry points in Screen 38.2? That should do the job. Look at the 1040, line 30 and you should see WKS Click on that so see the computation.

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pvanschuylerAuthor

Level 2

Yes, entered -1 in all areas. The issue is that it is generating a credit for both stimulius checks which I believ is overtated. I believe that the computation should be based on the second payment (RRC) and not the EIP first payment. Laceret is calculating a credit of $6,874 when I believe it should be just $2,987.