In 07, client filed MFJ, with 5 dep under age of 17. Tax before credits was $783. Recieved stimulus payment of $2,283. In 08, tax before credits $15,331, 4 dep under 17, Lacerte figures Recovery of $117. IRS says $0 recovery? IRS calculator = $117
To finish, 2 different IRS tax practioner priority line employees say they get $0. They also said the IRS calculator is wrong. Who is right?
From LTUG:
"This is from [someone else's] IRS Liaison:
CP 11 Recovery Rebate Credits Disallowed Erroneously
CP 11 notices are being issued from the Memphis Campus that erroneously
disallows the Recover Rebate Credit. We are working the issue to find the
software problem but incorrect tax liabilities are being assessed against
the taxpayer. An Alert will be issued after they find the problem. Once
the problem is identified I will be able to provide more information on how
you should or if you need to respond.
This also appears to be an issue on the CP 12 Notices as well. "
I calc'd the exact same amount as you and got the exacty same number, assuming the total taxes were the same. Since in 2008 you have two adults and 4 kids, the total credit would be $2,400 less the $2,283 received last year.
Thanks for the sanity check. My concern is the two practitioner priority line employees coming up with the same wrong answer. Hopefully as Phoebe wrote, corrections are in the mail shortly. Mojo
