But what happens if your family situation changed drastically from 2019 to 2020? Here’s the thing, this credit is calculated in the same way the stimulus payments were. The first stimulus check was likely based on your 2019 or 2018 tax return. The credit, however, is based on information from your 2020 return.
Therefore it is entirely possible to qualify for the credit but not the stimulus check, or the other way around, if your family situation has changed.
Calculating your Recovery Rebate credit isn’t all that complicated as you’ll find instructions on Form 1040. What you’ll need is information on your first and second stimulus payments, meaning you’ll need to have the amount of money you received. This is what will get subtracted from your credit.
You know that pouring yourself a hot cup of tea, listening to your favorite low-key…
Thankfully, every year we get a little heads up as to what to expect in…
There are, arguably, a ton of ways to save money out there. From depositing pennies…
You might want to check out your old baseball cards or sift through those boxes…
Crime levels have declined sharply in the US over the past two decades. According to…
As Benjamin Franklin so famously put it, “nothing is certain but death and taxes.” Don’t…