Critter-3 and rjs: we are both filing our 2021 returns as HoH (have not lived together, maintain two separate households on separate incomes). With the $10,000 SALT limit, since we both independently own homes, we make up the difference in the standard deductions. There are other reasons for filing HoH that I won't go into.
Our CTC checks, payable to Mr. and Mrs., totaled $7,000. For her, the CTC Update Portal reports $7,000. For him, the CTC Update Portal reports $7,000. Again, our total was $7,000, not $14,000.
When we do our separate returns as HoH, Turbo Tax tells us both:
You qualify, but received too much in advance payments
Child Tax Credit
It looks like you were paid more in advance Child Tax Credit payments than you qualify for. When this happens, the IRS requires you to repay some of the money you received.
We’ve added this amount to the taxes you owe.
I don't fault the program because I cannot find on the IRS site how to deal with our scenario, which is:
- 2020 return was MFJ.
- 2021 returns are HoH with dependents split between returns.
Have I missed it?
Should we expect the IRS to detect and resolve this?
@jimcrack68 Disregard what the CTC Update Portal shows. You have to wait for the letters from the IRS. The letters will not show what the CTC Update Portal shows. You must enter the exact amount shown in the letters. You don't do any splitting or calculating. Just enter the amount from your IRS letter. No explanation will be needed. There will be nothing that has to be resolved. But you have to wait for the IRS letters.
