huli
Level 1
12-07-2019
07:16 AM
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Does client forfeit the Child Tax Credit (8812) and Saver Credit (8880) after three years, similar to EITC and Refunds?
I'm filing a return for 2013 (in 2019) & can't find explicit guidance on IRS.gov. Tried to call, but IRS is not answering tax law questions outside of filing season.
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TaxGuyBill
Level 15
12-07-2019
07:16 AM
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No, those are still valid credits to offset any taxes for that year. However, the taxpayer won't be able to receive a refund from those credits if it is past the Statute of Limitations.
huli
Level 1
12-07-2019
07:17 AM
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Thank you, TGB.
itonewbie
Level 15
12-07-2019
07:17 AM
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Normal statute of limitations based on 3 years from the date of filing and 2 years from the date of payment applies. There are no special provisions for these particular credits under §6511(c).
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huli
Level 1
12-07-2019
07:17 AM
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Thank you, itonewbie. So I can claim the credits because I'm within the 3 year time period of *filing* the return. This will be the initial filing of the return which is 5 years past due. Am I understanding this correctly?
itonewbie
Level 15
12-07-2019
07:17 AM
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No, since no return was filed, any refund would be limited to tax paid within the last 2 years.
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Still an AllStar
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huli
Level 1
12-07-2019
07:17 AM
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Thank you. I know I can't go after a refund amount. I need the credit to reduce overall tax liability. taking the credit lowers their tax due, but still leaves them owing tax.
