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$1400 Recovery Rebate Credit for Non-Dependents in 2021 (Who Were Dependents in 2020)

I would appreciate confirmation from anyone who has looked into this:

Those individuals, who

-- were claimed as dependents in 2020

-- but file as (bona fide of course) non-dependents in 2021

are eligible to claim the Recovery Rebate Credit, right? The third round stimulus payment had one set of eligibility requirements. The Recovery Rebate Credit has another set of eligibility requirements. The (arguable) double dipping that may occur is the price of letting the floodgates of relief open to promote the integrity (such as it is) of the economy, and so on, correct?

One citation:

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Reply to
honda....
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You are correct. Someone who is not a dependent in 2021 can claim the Recovery Rebate Credit on his 2021 tax return, even if someone who claimed him as a dependent for 2020 got a third stimulus payment for him. It's not a question of different eligibility requirements. The eligibility requirements are the same for the third stimulus payment and the Recovery Rebate Credit. The difference is that the third stimulus payment was based on 2020 tax returns, and the Recovery Rebate Credit is based on the 2021 tax return.

Bob Sandler

Reply to
Bob Sandler

Bob Sandler, thank you once again for a concise, clear explanation.

I also looked at the Form 1040 instructions for Line 30. They're crystal clear that a bona fide non-dependent in 2021 who was a dependent in 2020 is lawfully entitled to the Recovery Rebate Credit.

Reply to
honda....

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