CyberTax Alert TY2021-02: EIP IRS Letter 6475 and AdvCTC IRS Letter 6419
AARP Foundation Tax-Aide CyberTax Alert
February 1, 2022
To: All AARP Foundation Tax-Aide Volunteers (with a valid email address in the Volunteer Portal)
From: Lynnette Lee-Villanueva, Vice President and National Director, AARP Foundation Tax-Aide
Subject: CyberTax Alert TY2021-02: EIP IRS Letter 6475 and AdvCTC IRS Letter 6419
CyberTax Alert TY2021-02 for all volunteers:
The IRS is sending Letter 6475 to individuals who received a third Economic Impact Payment (EIP3 or stimulus payment) in March 2021 or later, including initial and “plus-up” payments. Some taxpayers who filed jointly are receiving one Letter 6475, while others are receiving one for each spouse separately with only their half of the payments received. Some taxpayers may not receive their letters until March 2022.
Couples who receive two letters may bring only one, thinking they are duplicates, since the amounts will be the same. Counselors should ask if any other letters were received. If each spouse received a letter, the amounts should be added when filing a joint return. Regardless of how many letters are received, report payments issued to the taxpayer (and spouse on a joint return), including payments for dependents. Do not include payments issued directly to dependents or anyone else. Do not include EIP2 payments received in January 2021.
The IRS has sent Letter 6419 to taxpayers who received an advance child tax credit payment. Letters for taxpayers who filed jointly were sent to each spouse separately with only their half of the payments received. This means married taxpayers will need to combine the information from their letters when they file their joint return this year (see NTTC-modified Pub. 4012, pages G-3 and G-5). The IRS has acknowledged that some letters are incorrect. They do not believe this is a widespread problem, and mainly affects taxpayers who moved or changed banks in December. The IRS suggests that the taxpayers who need to verify their AdvCTC create an account at https://www.irs.gov/account and check the information there, but this can be difficult for many taxpayers. Do not rely on the Child Tax Credit Update Portal or Tax Transcripts, as those amounts may not be up to date.
Ultimately, we should try to file the most accurate return possible. The taxpayer should check their bank deposits or other records, and should report what they actually received, even if the amount differs from the letter(s). Counselors should warn the taxpayer that if the amount is incorrect, the processing of their return and refund will be significantly delayed.
Please refer to the NTTC-modified Pub. 4012 and the “updates and errata” link on the front cover for the latest information.
For more information, refer to these IRS articles:
- News Release IR-2022-19: All third Economic Impact Payments issued
- Fact Sheet 2022-04: 2021 Recovery Rebate Credit Questions and Answers
- Fact Sheet 2022-05: Special tips for the advance Child Tax Credit and filing the 2021 tax return
- Fact Sheet 2022-06: Filing Season 2021 Child Tax Credit Frequently Asked Questions
- Fact Sheet 2022-07: Filing Season 2021 Child Tax Credit Frequently Asked Questions
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