Recovery Rebate Credit 2020 Tax Return

Question:
The Recovery Rebate Credit on Your 2020 Tax Return as the adjustment to the 1. and 2. stimulus payment(s)
Article, Solution:

If you did not get either the stimulus one or stimulus two payments, you can efile your 2020 return on eFile.com and claim the Recovery Rebate Credit. Before you do this, check one last time the status of your stimulus payment(s).

Get Your Stimulus Payment Status and/or Track Stimulus Payment by EIP Card

Recovery Rebate Credit

The Recovery Rebate Credit is a new line item on the 2020 Tax Return; it will be listed on line item 30 on the 2020 1040 form.

  • Attention: It's very important to know that the 2020 tax return is NOT TO BE SOLELY used to only receive the 1. and/or 2. stimulus payment(s) via the Recovery Rebate Credit. You must also report and e-File all your 2020 taxable income, deductions and credits etc. as any additional 2020 tax return(s) would get rejected.

If you did not receive your 1. and/or 2. stimulus payment you-  just enter "0" (zero) not quotes - on the recovery rebate page. Otherwise, enter the amounts you received for the 1. and 2. stimulus payments.  Important: Use this tool to see if you were eligible for the 1. stimulus and this for the 2. stimulus payment.

  1. Sign Up OR Sign In your eFile.com account and complete the initial required steps. Then copy and paste the link below into the browser when in your account
  2. Copy and Paste: https://mytaxes.efile.com/1040/federal/per/form/fdx100-1
  3. Or, follow these instructions on your screen.

Recovery Rebate

Recovery Rebate Entry Screen for the 1. Stimulus Payment

If you received the 1. Stimulus Payment or Economic Impact Payment in 2020 enter the amount you received or the amount listed on notice 1444 and mailed to you from the IRS. If you DID NOT receive a 1. stimulus payment enter "0" (zero). If you did not get notice 1444 or have since discarded it, please enter the amount you received as your 1. stimulus payment.

Recovery Rebate

Recovery Rebate Entry Screen for the 2. Stimulus Payment

 If you received the 2. Stimulus Payment in 2021 enter the amount you received or the amount stated on notice 1444-B mailed to you from the IRS. If you DID NOT receive your 2. Stimulus Payment for any of the reasons outlined here, enter "0" (zero). If you did not receive notice 1444-B or have since discarded it, please enter the amount you received as your 2. stimulus payment.

Recovery Rebate

Make sure you keep and save the letter from the IRS with your 2020 tax return records. You will need the Economic Impact Payment amount you received as stated in the letter from the IRS Notice 1444 for your 1. Stimulus payment  and/or 1444-B for the 2. Stimulus payment. If you DID NOT receive for any reason the 1. and/or 2. stimulus payment, enter a 0 - as in number zero - on the Recovery Rebate Pages on your 2020 tax return.

Attention: If you have already reported the Recovery Rebate Credit (RRC) on your e-Filed 2020 return and have since received the 1. and or 2. stimulus payment(s), the IRS will most likely adjust or remove the Recovery Rebate Credit from your 2020 tax return if  the IRS has record that the 1. and or 2. stimulus payment(s) were indeed issued to anyone claiming the Recovery Rebate Credit. As the IRS has to coordinate this internally, this might be one of the reasons for the delay to the start of the 2021 tax filing season.

However, we do recommend that you monitor the refund you receive from your return and if you get the stimulus payment in error, then you should contact the IRS before you take any other steps e.g. file a tax amendment to your 2020 tax return.

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