How To File 2021 Child Tax Credit With Letter 6419 Explained! (Form 8812)

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  • čas přidán 22. 08. 2024
  • 2021 Child Tax Credit Explained as we discuss an example of how to file form 8812
    👉 Need Tax & Accounting Services? Visit My Website: www.mikekellycpa.com
    📼 Complete tax video playlist: • Income Taxes Explained
    Chapters (Time Stamps):
    0:43 Letter 6419
    1:16 Example starts here
    1:30 - 2:13 Child tax credit amounts and limtations
    2:44 - How the credit works
    3:42 - Where taxpayers are making errors with this
    4:08 6419 Letter example
    5:19 Form 8812 and final tax outcome
    6:30 what if your 6419 Letter shows the wrong amounts?
    Links to forms and instructions shown throughout video:
    👉 www.irs.gov/fo...
    👉 www.irs.gov/in...
    👉 www.irs.gov/pa...
    👉 www.irs.gov/in...
    👉 www.irs.gov/ne...
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    ***Disclaimer: Although I am a licensed CPA with the state of California, this information is for entertainment and educational purposes only. Everyone's tax situation is unique to the individual. If you are uncertain about your tax situation or tax filing it is highly recommended you consult with a professional.

Komentáře • 62

  • @MoneyandLifeTV
    @MoneyandLifeTV  Před 2 lety +7

    Chapters (Time Stamps):
    0:43 Letter 6419
    1:16 Example starts here
    1:30 - 2:13 Child tax credit amounts and limtations
    2:44 - How the credit works
    3:42 - Where taxpayers are making errors with this
    4:08 6419 Letter example
    5:19 Form 8812 and final tax outcome
    6:30 what if your 6419 Letter shows the wrong amounts?

    • @Kuribohchaos8
      @Kuribohchaos8 Před 2 lety

      Quick question, i have no kids but i did recieve the 1400 stimulus. Will i be getting this letter or not?
      And should i have gotten it by now?

  • @jacobvelez91
    @jacobvelez91 Před 2 lety +8

    This is my first year as a tax associate at HR Block, my father in law works for a tax firm and he’s the one who showed me you videos, I just wanted to say your breakdowns have been extremely helpful thank you so much !

  • @cherieadhe1404
    @cherieadhe1404 Před 2 lety +6

    I’m a single mother with no job the last two years to take care my twins and received child tax credit, how should I file the tax return with no income? Thank you so much for your help…

    • @Tacoshell420
      @Tacoshell420 Před 2 lety

      I'm in similar situation.Did you happen to find anything out ..I'm lost on what to do

  • @nadien1958
    @nadien1958 Před 2 lety +1

    it's that "caution" that some will have to worry about. mine is one such where that which the IRS says doesn't match that which was received.

  • @MoneyandLifeTV
    @MoneyandLifeTV  Před 2 lety +1

    Links to forms and instructions shown throughout video:
    👉 www.irs.gov/forms-pubs/about-schedule-8812-form-1040
    👉 www.irs.gov/instructions/i1040s8
    👉 www.irs.gov/payments/your-online-account
    👉 www.irs.gov/individuals/understanding-your-letter-6419
    👉 www.irs.gov/newsroom/special-tips-for-the-advance-child-tax-credit-and-filing-the-2021-tax-return

  • @tinabrown1171
    @tinabrown1171 Před 2 lety +1

    Hi! I do not have a line 67 on my 1040 -- My 1040 page two only goes to 38. What's up with this? Also if I check box 13a on 8812, I am somehow not eligible for the ACTC. This is super confusing. I wish you wouldn't have skipped so much of this form! Please update. Thanks!

  • @BostonianBroker
    @BostonianBroker Před rokem +1

    I’m just now filing both my 2020 and 2021 returns. My mom is elderly and I am claiming her as a dependent. Do I need to fill out his form? I did not I never received a letter from the IRS. Thank you 🙏

  • @franklinyoutubehu2349
    @franklinyoutubehu2349 Před 2 lety +1

    But "confusingly", the couple still owes $2313 even though they had a total child credit of $6600, but a tax due of only $5593. You'd think that the couple should be entitled to a "refund" of $1007, but instead wind up paying $2313. How is that possible?????? Their child credit is MORE than the taxes they owe!!!!!
    As near as I can tell, the government can claw back the "excess" child tax credit payments. The amount paid in cash actually acts like a "loan" on a "refund" check. So, the government already gave our couple a tax refund check of $3,300 for 2021. However, when all is said and done, the couple should have received a refund of $1,007 (if you didn't get the cash credit and just went with the full $6600 credit). So, the government overpaid the couple $3,300 - $1007 = $2, 293 which is magically similar to the amount they now owe. I found this extremely surprising that the effect of accepting the child tax credit cash is to "OWE" the IRS money instead of getting a refund. Am I right? I thought you never had to "pay back" the child tax credit payments, but it's all hidden inside the 8812 form. Is there any way around this?????

  • @calendarbumb4037
    @calendarbumb4037 Před 2 lety +1

    Mike… I have a rental property in a Trust that I sold in 2021. How and where does that go on my tax return ?

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Hi, it really depends on the type of trust you have first. In your situation I would highly recommend seeking an accountant.

  • @googleuser2795
    @googleuser2795 Před 7 měsíci

    What if the amount on the IRS letter doesn’t match with what was deposited in my bank account for the advance child tax credit?

  • @sohellipi3805
    @sohellipi3805 Před 2 lety +1

    Thank you, sir. It is easy to understand.

  • @d.revilbrook981
    @d.revilbrook981 Před 2 lety +1

    Please do a video on solar credit and how it works

  • @OurCrazyCrew
    @OurCrazyCrew Před rokem

    Thanks so much for making it clear!!

  • @telafreeze
    @telafreeze Před 2 lety

    Just got a notice from the IRS that I owed tax, rather than a refund for the CTC. I see now it's because I didn't send in Form 8812, but I can't reach them on the phone. Can I just go ahead and file an amended return (electronically) and notify them by mail what I have done?

  • @enriquegomez9151
    @enriquegomez9151 Před 2 lety +2

    My wife accidentally threw our letter away. I know the total we received, should I just divide it by 2 and assign half to each of us since we filed jointly?

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Hi Enrique, great question, ultimately your approach to your tax filing is up to you. Assuming you know the numbers for each of you do you feel that this is a reasonable approach? You can also check your online IRS account if you are uncertain about the payment information. Hope that helps.

    • @enriquegomez9151
      @enriquegomez9151 Před 2 lety

      @@MoneyandLifeTV I’m going to check online. I’ve been having trouble logging in but I think it’ll work today. I checked with other friends and theirs was also split 50-50 between their spouses, just afraid to get it wrong even though I know the numbers.

  • @gmoney5947
    @gmoney5947 Před 2 lety +1

    When I compare my return to previous years I think I want my old president back

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      I'll basically take any president back at this point aside from the one we have.

  • @tomliu6358
    @tomliu6358 Před 2 lety

    You need to get down to the point to highlight the line# in 1040. For example, I got this "Table 8.Standard Deduction Worksheet for Dependents" the deduction is $1100, then you search the 1040, no where you can enter ....Please help

  • @johnsadler2385
    @johnsadler2385 Před 2 lety

    The IRS website shows that I received 6 monthly payments of $250 each, and the account it was deposited into. My wife and I were divorced in October of 2021. The bank account shown is her account that I never had access to. Now what? The IRS shows I received money that I did not receive. I do not know how to handle this.

  • @susiekelly4322
    @susiekelly4322 Před 2 lety +5

    A lot of informative information!

  • @GoingGreenMom
    @GoingGreenMom Před 2 lety +1

    This isn't really relevant to me in this instance, but I'm coming up to the top end of things, but say a kid is six part of the year, and 7 part of the year, which one do they get? 3600 cause they were 6 going into 2021, or 3000 because they were over 6 at the end of the year?

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Great qestion GGM, the child has to be under the age 6 at the end of 2021 according to the IRS website to receive the $3,600. If they turn 6 during 2021 then their credit would be worth $3,000.

  • @villanuevaruth21
    @villanuevaruth21 Před 2 lety

    WOW THANK YOU

  • @PeyTwo
    @PeyTwo Před 2 lety

    Hi Mike, It's my first time to receive 1099-g and in box 2 Taxable refunds, credits, or offsets of state and local income taxes ... there is an amount, my question is how do i put it in the schedule 1 is it negative or positive?

  • @jadenardini7736
    @jadenardini7736 Před rokem

    Good Morning ~
    Thanks for your good video.
    Your video always to help me to understand concept of taxes by easy way. Thanks again ~

  • @dmay9081
    @dmay9081 Před 2 lety +1

    When I do the stimulus checks on the calculator on tax estimater it takes money from my refund, I thalt it not taxed or u not have to pay back???

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Hi D May, I am not familiar with tax estimater but rest assured the stimulus check is not taxed and you do not have to pay back. The tax software I use shows 1,400 stimulus credit when I first start a return, but after I enter the stimulus check i received it brings that credit amount down to $0 as it should be for people whom received the stimulus amount they were supposed to. It is difficult to explain, but the short answer is that it is not taxable.

    • @dmay9081
      @dmay9081 Před 2 lety

      Thanks , I understand

  • @1DansBlues
    @1DansBlues Před 2 lety +1

    Good info as always. Form 8812 will be on a lot of tax returns this year. One couple I did made too much money to get the stimulus in ’21. And had a child. So they did not get any IRS letters. They had a decrease in income in ‘21 and got stimulus for 3 plus the $3600.
    Looking forward to your next video and tax tips. Take care now.

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Thanks big Dan. Wow, sounds like a nice turn of events for that taxpayer :)

  • @queentee5020
    @queentee5020 Před 2 lety +1

    I received my letter after I already filed my taxes and I didn’t input this information will irs automatically fix it?

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Hi Queen Tee, great question. Yes, the IRS will lookover your return and should make adjustments. Just know that they will likely issue you a notice at some point concerning these adjustments. Also, it will delay the processing of your return. For how long, I honestly have no idea. They do not communicate such details. May take a few months ( 3 - 6 months) minimum before you hear from them.

  • @hellicey8401
    @hellicey8401 Před 2 lety +1

    I have a question, My filer told me i won't be receiving the other half of my child tax credit, why?

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Hi, unless I was preparing your taxes I would not be able to tell you. It is best to ask the person who prepared your return for an additional explanation.

  • @josercentralvalley8235

    Have twin girls under 5 got the 3600 tax credit but when I got my taxes they told me I got 5854 but then they told me I put in the wrong child tax credit in and they took 3600 from my return so I’m getting 2254 back I think there something wrong with that

  • @mariachaires8063
    @mariachaires8063 Před 2 lety +1

    Thank you Mike, question, so a client of mine already filed with dependent stated that she had received the advance ctc.... put all info in... and I filed it... now i have learned that it was the babies father who received the advance ctc since he claimed the child last year... my question is will I need to amend it and if so the father will file as single now do I add his ctc payments on his return and he will owe? And remove it from the moms as amendment and she will get full credit? Or maybe just wait it out once irs reviews and sends a notices for further action? 😩

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety +2

      Oh no that sounds like a mess. Have you looked into filling a superseded return? I would need to double check the rules on the treatment, but I would start with the IRS website. Check here: www.irs.gov/credits-deductions/2021-child-tax-credit-and-advance-child-tax-credit-payments-topic-l-commonly-asked-shared-custody-questions

    • @mariachaires8063
      @mariachaires8063 Před 2 lety +1

      @@MoneyandLifeTV thank u

  • @firemipspy1198
    @firemipspy1198 Před 2 lety +1

    Mike, this is my first time getting a 1099 showing short term tax lots for stock options. I notice that for every option that expired worthless the date aquired is also the same as the date sold instead of using the date that I actuall sold the PUT contract. Is that correct?

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety +1

      Great question. I have not done option trading so I cannot say for sure. Check with your broker on that one. From a tax point though it should not matter if the date is different as long as the overall treatment (short or long-term) is indicated correctly on your tax return.

  • @Akziis
    @Akziis Před 2 lety

    I need part lll filled out

  • @Erika702Vegas
    @Erika702Vegas Před 2 lety +1

    I can’t seem to find the right person to answer my question I have asked lots of people and no one can give me a straight answer or just they just tell me to call the IRS and it’s impossible to get a hold of someone almost in the IRS I did not receive my refund last year I didn’t get a letter regarding why they kept it I did not get a penny of my child tax return last year as well then I go to file this year and my sons dad who has been in jail for four years and just got out of prison a few months ago claimed my son on taxes without my knowledge I don’t know what to do I’m at my wits end I keep hitting walls everywhere I go it seems like I just can’t find out a solution to this or who I should talk to to help me if you can or anyone can give me an opinion on what I should do besides calling the IRS because I already have and it hasn’t been any luck what can I do who do I talk to you

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Hi Erika, in this instance you might consult with a tax attorney, because there are matters at play here that go beyond just taxes. As far as the IRS goes try accessing your online transcripts through the IRS website. You will need to create an account with them. la2.www4.irs.gov/eauth/pub/login.jsp?Data=VGFyZ2V0TG9BPUY%253D&TYPE=33554433&REALMOID=06-0004b868-9ea6-1a23-9ea0-163b0acf4007&GUID=&SMAUTHREASON=0&METHOD=GET&SMAGENTNAME=UOkC7yx4eMTO24FGxPfBRb5q3Mj3Xh3pyXfBEjYyHJ97nGCXu16wx5MzFHjfZmlG&TARGET=-SM-https%3a%2f%2fla%2ewww4%2eirs%2egov%2fesrv%2ftds%2f
      ALso look at accessing your online account: www.irs.gov/payments/your-online-account
      You can also check the "wheres my refund app"
      Hope that helps sorry you are going through this.

  • @imlevitating4559
    @imlevitating4559 Před rokem

    The stick figure kids are a bit big for being

  • @ashrafpardiwala6974
    @ashrafpardiwala6974 Před 2 lety +1

    Pl.also video for earn tax credit and how to fill form 8962.pl.reply me.

    • @MoneyandLifeTV
      @MoneyandLifeTV  Před 2 lety

      Hi Ashraf, thanks for commenting. At this time I have no plans to make a video regarding the 8962 form, however, if I receive enough requests I will consider it.

  • @furryexterminator204
    @furryexterminator204 Před 2 lety

    ok

  • @istarlinilyasmashaallah3441

    thank you 🙏

  • @sabrinalavdisarnold825
    @sabrinalavdisarnold825 Před 2 lety +1

    Thank you for posting this! I was tripped up trying to figure out how to reconcile the other half of the credit!

  • @freddiebutler3653
    @freddiebutler3653 Před 2 lety

    Another Great video!