Level 3

Advanced Child Tax Credit Married Filing Separate

Forum|Forum|4 years ago
February 8, 2022
3 replies
12 views

Can I flip flop a kid from one married spouse to the other from last years return and recoup the advanced child tax credit a second time since this parent did not receive it. We can do this if they are divorced, but I have seen nothing that says we can or cannot when they are married. Additionally, if this is legal, clients that filed joint last year could file separate this year an only claim the half of advanced child tax credit they received.

This topic has been closed for replies.

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Terry53029

Intuit Community Champion

Can't answer to the question "flip flop" When my client has children I use IRS rules found in pub 972, and

26 U.S. Code § 24 - Child tax credit

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goofballAuthor

Level 3

Then you did not answer anything.

IRonMaN

Level 15

It sucks when someone tells you where to research, but you really don't want to research.

Slava Ukraini!

IRonMaN

Level 15

Have a nice life. I'm done.

Slava Ukraini!

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goofballAuthor

Level 3

Since you do not know the answer why did you ever start?

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goofballAuthor

Level 3

by the way ironman try reading question E14 of IRS fact sheet 2022-09. How can the IRS close something they have stated to do. Yet, you won't go there. You are losing your clients money. You definitely have no business getting into a forum question about things you know nothing about.

I would just like to know if anyone else has a reason I have overlooked for why not to do this.

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Nealham12

Level 2

Couples that are married filing separately receive a reduced credit that is equal to half of the typical credit amount. Currently, parents can receive up to $3,600 for every child under 6 and $3,000 for kids between 6 and 17. Married couples filing separately are only eligible for $1,800 and $1,500, respectively. This is because when married filing separately, only one parent can claim the child tax credit, not both.

Why Can’t Both Parents Claim the Increased Child Tax Credit?

The law states that only one parent can get the credit for a shared dependent. The parent who claimed the child on their 2020 tax return will bethe one receiving the advance payments this year, as the credit given in 2021 is based on 2020 returns.

If both parents claim the child tax credit, the IRS will only allow the claim for the parent that the child lived with the most during the year. While married couples who file jointly can claim dependents as a single entity, those filing separately must choose which parent will claim the dependent.

rbynaker

Level 13

@Nealham12 wrote:

Couples that are married filing separately receive a reduced credit that is equal to half of the typical credit amount. Currently, parents can receive up to $3,600 for every child under 6 and $3,000 for kids between 6 and 17. Married couples filing separately are only eligible for $1,800 and $1,500, respectively. This is because when married filing separately, only one parent can claim the child tax credit, not both.

This is incorrect. See instructions and the Line 5 Worksheet.

https://www.irs.gov/pub/irs-pdf/i1040s8.pdf

MFS will start to phase out at a lower AGI threshold but the math starts with $3,600/$3,000.

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FRANKR2

Level 2

"Married couples filing separately are only eligible for $1800 and $1500, respectfully." That is not how the software treats it. I know a married couple that filed married seperate in 2020. The mother took 2 dependent children. The father took 0 dependents. The mother received $3000 in Advanced Child Credit in 2021 and $4200 in EIP payments. The father received $0 in Advanced Child Credit and $1400 in EIP payments. In 2021. The IRS has stated that AdvCTC Letter 6419 MUST match what is reported by the tax payer. The mother received IRS letter 6419 with $3000 and 2 eligible dependents and a EIP letter showing $4200. The father received no AdvCTC letter 6419 because he had $0 Advanced Child Credit and a EIP letter reporting $1400. For the 2021 tax year the father is going to take the 2 dependent children. When he puts $0 amount in for Advanced Child Credit the software gives him a credit of $3000 and when he puts in $1400 reported for the EIP it gives him an EIP credit of $2800. For the 2021 tax year the mother is claiming 0 dependents. When she puts in $3000 for Advanced Child Credit from her AdvCTC letter 6419 the IRS is only "clawing back" $1100 of the $3000 Advanced payment based on her wages. And she does not have to pay any EIP payments back. No where does it ask when your filing married seperate if your spouse received any Advanced Child Credit or EIP payments. No where in the IRS instructions does it say Married filing seperate couples are to add their payments together. It does say if Married filing joint to add their payments together.

26 U.S. Code § 24 - Child tax credit

Why Can’t Both Parents Claim the Increased Child Tax Credit?

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