December 13, 2021
Do not throw away mail from the IRS. Because for lots of you, you’re going to be getting –not one – but *two* important IRS letters in early 2022 that you’ll need to complete your 2021 taxes.
Letter one is for anyone who received the $1400 stimulus check back in March or April. Letter two is for those of you who were issued monthly child tax credit payments.
Let’s start with letter one – the stimulus letter.
That stimulus payment from March 2021 is technically called EIP3. And if you got EIP3, …you will be receiving letter 6475.
That letter will tell you how much money the federal government says you received in federal stimulus payments in 2021. If everything is correct …since these payments are considered *non* taxable income… just keep the document with all your other tax documents.
But if you are qualified and did not receive EIP3 payments for yourself or your qualified dependents, because the IRS didn’t have your correct income, or didn’t count a new baby, then – like last year – you will file a recovery rebate credit for EIP3 on your 2021 taxes and claim those missing stimulus payments. I have a whole category on my page labeled stimulus and you’ll find all my videos on who qualifies for EIP3 there. If you want more information on this year’s recovery rebate credit go to the IRS website. (irs.gov/rrc)
Letter two is for all of you who received the monthly child tax credit payments. In January 2022 the IRS says you’ll be receiving letter 6419. That letter will tell you how much money the federal government has issued you in monthly child tax credit payments between July and December.
You will take that number and subtract it from the amount of child tax credit you can properly claim based on your child’s age and your income level. After doing that simple math — whatever number you come up with is the balance you can claim on your 2021 taxes when you file in 2022.
I’ll remind you as we get closer, but if you want more information now, I just sat down and talked with the IRS about all of this. The link to my interview is in my bio.
Read more about the 2021 Rebate Recovery Credit here.
Read more about the Monthly Child Tax credit calculations here.
That’s an awesome point
Why is it I always really feel like you do?
Very descriptive post, I liked that bit. Will there be
a part 2?
There’s no need. I have multiple videos about those letters. Plus taxes were due 10 days ago.
I didn’t know that.