Question

The IRS incorrectly made changes to my tax return that reduced the amount of my refund in the amount of $1,200

Forum|Forum|5 years ago
March 7, 2021
5 replies
0 views

Can TurboTax look into this?

The IRS changed my 2020 tax return (married filing jointly) resulting in a $1,200 reduction of my refund as calculated and verified by TurboTax Home and Business. This is the exact amount of the second COVID relief deposit. My guess is that the person at the IRS who reviewed my return saw that my AGI does exceed the income limit of $75,000 for individuals, but failed to notice that my 1040-SR form was checked "Married filing jointly." This is an obvious error made by the IRS.

Background:

I E-filed my taxes on February 2, 2021 using TurboTax Home and Business. The refund recently appeared in my bank account marked "Pending March 10."

The IRS stated under the Details of my return status that the reason for changing my return was one of the following:

• The Social Security number of one or more individuals claimed as a qualifying dependent was missing or incomplete.
• The last name of one or more individuals claimed as a qualifying dependent does not match our records.
• One or more individuals claimed as a qualifying dependent exceeds the age limit.
• Your adjusted gross income exceeds $75,000 ($150,000 if married filing jointly, $112,500 if head of household).
• The amount was computed incorrectly.

TurboTax Home & Biz Windows

S

SweetieJean

Employee

You need to find out if that was actually the reason, or rather one of the other ones listed. Most IRS adjustments are done by computer, which is unlikely to have misread the efiled return data. Call the number on the letter you received for more details.

And keep in mind that TT is only as good as your data entry, and answers to questions. A $1200 refund difference also equates to a $10,000 income reduction at the 12% tax bracket. So also check your data entry for any typos.

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Wingett PhotographyAuthor

Thank you for your response. I will attempt to contact the IRS first thing tomorrow morning.

Sorry about the duplicate post. I thought my first post was lost when I attempted to change my profile name.

VolvoGirl

Employee

Did you have 1200 Recovery rebate credit on line 30? Did you already get it or get it after you filed? How much Stimulus payments did you get for each round? How many people are on your return? Any dependents?

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WDL315PCJ23B

Yes that is exactly what happened but it was1800 dollars

VolvoGirl

Employee

If you are Single 1800 would be the total for the first 2 Stimulus payments 1200+600. Did you already get those? Then why did it show up on line 30? You tried to get it again. The IRS knows they already sent it to you so they took if off your tax return.

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WDL315PCJ23B

I didn't understand the question but then I think I corrected it but they still took the1800 and when I called they said that they were right and I was wrong and turbo tax says that my taxes were done right gurenteed so some body owes me1800 dollars right

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batjammin

This is an ongoing problem apparently, as I received my refund 3 months past the estimated refund date minus the total 3k stimulus that TTax calculated to have been owed(3 children, married filed jointly, income of 93k). All info they suggested is wrong is indeed correct. When attempting to contact customer service with the ref# provided you get a recording that states " Due to high call volume about this problem, we are no longer taking calls". The IRS is fuking taxpayers once again.

K

KittyKay

Hi,

I have the exact same issue you had. I filled my 2021 taxes a little over a month ago. IRS adjusted my refund and I received a lower amount than I had expected after Turbo estimated what I’d get. I got the letter that stated the reasons for the adjustment but non of them applied to me.

so what did you end up doing to receive your recovery rebate credit? I got the other 2 but did not receive the third one. I have tried calling IRS and that’s a pain being on hold for hours. Should I amend my taxes?

Cass0317

If you have questions about an offset, contact the agency to which you owe the debt. You may also contact the IRS directly by clicking the following link: How do I contact the Internal Revenue Service (IRS)?

For additional information, please see the IRS link below under the topic "Why is my refund different than the amount on the tax return I filed?"

IRS Frequently Asked Questions

@KittyKay

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S3ymour

This is also happening to me. I’ve triple checked all my info is correct and my return went from 7904 down to 4400. This is either an IRS error or a TurboTax error as based on this info: The Social Security number of one or more individuals claimed as a qualifying dependent was missing or incomplete. The last name of one or more individuals claimed as a qualifying dependent does not match our records. One or more individuals claimed as a qualifying dependent exceeds the age limit (my oldest is 13). Your adjusted gross income exceeds $75,000 ($150,000 if married filing jointly, $112,500 if head of household)(I’m married filing joint with gross income of $76,000). The amount was computed incorrectly (doesn’t make sense as the amount of my return was consist with prior years before the adjustment). The most frustrating part is you call the number and use the referenced info and it just plays a message that due to high call volume for this you should try again another day/time.

Critter-3

On the IRS notice the only thing that applies to you will be the last bullet point ... the IRS considers incorrect stimulus credit on line 30 and the CTC on line 28 to be "math" errors on the return and the TT program is totally dependent on the user's input as to how much of the advance stimulus and CTC payments they got from the IRS. If the IRS disagrees with what you entered then they will adjust the return which will reduce your refund.

If you disagree with the IRS on the stimulus amount paid then you will have to initiate a trace on the missing payments ... this cannot be argued on the form 1040 or on the phone.

https://www.irs.gov/newsroom/questions-and-answers-about-the-third-economic-impact-payment-topic-j-payment-issued-but-lost-stolen-destroyed-or-not-received