Two questions about too many stimulus controls: Dear Quentin, I’m confused. My grandparents claimed me on their 2019 taxes as a dependent. They received the third stimulus check for me. When the third stimulus checks were issued, my grandparents had not yet filed their 2020 taxes, so they received stimulus money for me as their dependent.
However, I filed my own 2020 taxes and am no longer your dependent. The Internal Revenue Service also sent me a third stimulus check. Who should notify the IRS of this overpayment and how? I can’t seem to find a scenario anywhere to cover this problem. Granddaughter Dear Quentin, I need clarification because from what I have read, we should receive a stimulus payment for our dependent adult. She is currently on Social Security and we claim her as a dependent. We support her needs throughout the year and she lives with us. She began receiving Social Security Disability Insurance in December 2020. We did not receive any stimulus money on payments in the first two rounds for her, but I know that was correct because the age guidelines for dependents have changed in the most recent round of payments. However, he also received $ 1,400 in his bank account where his SSI is deposited. Should I have received a payment? We should have? We have not yet filed our 2020 tax return and I plan to claim it as a dependent. I believe this is a duplicate payment and should be returned to the IRS. I cannot find any information on what to do, or if it is correct that the taxpayer and dependent adult will receive a stimulus check. Again, I think the IRS paid you by mistake. Mother You can email The Moneyist with any financial and ethical questions related to coronavirus at firstname.lastname@example.org. Dear Granddaughter and Mother: The Moneyist column has received many letters on this subject. The $ 1,400 stimulus payment is not a loan. This third stimulus check is an advanced tax credit on your 2021 taxes and is calculated based on your 2020 taxes. Both of you must decide which check was sent in error. Mother, you should consult your daughter before claiming her as a dependent to make sure you are both on the same page. Granddaughter, you must alert your grandparents of your plans to file your own taxes, and in that case they must return the payment. They both got an extra check because those who claimed the adult as a dependent hadn’t filed their 2020 taxes, so the IRS used the previous tax returns as a guide. Obviously, you cannot be claimed as a dependent and file a tax return yourself and expect a payment. It is one or the other. According to H&R Block, you may receive a letter (CP87A) from the IRS stating that your dependent was claimed on another return. “It will tell you that if you made a mistake, file an amended return, and if you didn’t make a mistake, do nothing.” Do you want to read more? Follow Quentin Fottrell on Twitter and read more of his columns here. “The other person who claimed the dependent will receive the same letter,” adds H&R Block. “If one of you does not file an amended return eliminating child-related benefits, then the IRS will audit you and / or the other person to determine who can claim the dependent.” You can return the money by check or money order with your recipient’s Social Security number or taxpayer ID, payable to “US Treasury.” Those who received a paper check and did not cash it can write “void” on the back of the check and mail it to the IRS. Read more here. People who earn less than $ 75,000 a year in adjusted gross income will receive $ 1,400. Payments go down for people earning $ 75,000 or more, and are eliminated entirely for those earning $ 80,000 or more and couples earning $ 160,000 or more in adjusted gross income. The issuance of payments has not been a straight line. One man told me that the government “punished” him for being responsible because he filed his taxes early and only received $ 200. Some taxpayers say they have received stimulus checks for deceased family members. The Moneyist: ‘I cut his hair because he doesn’t pay for a haircut’: My billionaire husband is 90 years old. I have cared for him for 41 years, but it does not help my son. Hello MarketWatchers. Take a look at Moneyist’s private FB Facebook group, -0.64%, where we look for answers to life’s thorniest money problems. Readers write to me with all kinds of dilemmas. Post your questions, tell me what you want to know more about, or comment on the latest Moneyist columns. By submitting your story to Dow Jones & Company, the publisher of MarketWatch, you understand and agree that we may use your story, or versions of it, on all media and platforms, including third parties.