SECTION 5. SPECIAL — Internal Revenue Bulletin 2022-7

FOR CTC/RRC FILERS

.01 Federal Income Tax Return Filed on Paper or Electronically . Under the simplified procedure set forth in this section 5, a simplified return may be filed, on paper or electronically, for taxable year 2021 on a Form 1040, Form 1040-SR, or Form 1040-NR. A Federal income tax return for taxable year 2021 filed under the simplified procedure in this section 5 will result in the following:

(1) The CTC/RRC filer may claim the child tax credit for taxable year 2021.

(2) The CTC/RRC filer may claim the 2021 recovery rebate credit for taxable year 2021. A nonresident alien is not eligible under § 6428B(c)(1) to claim the 2021 recovery rebate credit.

.02 Definition of CTC/RRC Filer . For purposes of this section 5, a “CTC/RRC filer” is an individual—

(1) Who is not required to file a Federal income tax return for taxable year 2021;

(2) Who has gross income for taxable year 2021 that is less than their applicable standard deduction amount;

(3) Who has not already filed a paper or electronic Federal income tax return for taxable year 2021;

(4) Who has an SSN or IRS individual taxpayer identification number (ITIN);

(5) Who-(a) has a principal place of abode in the United States (determined as provided in § 32) for more than one-half of taxable year 2021, or

(b) files a joint return with an individual who satisfies the requirement described in section 5.02(5)(a) of this revenue procedure; and

(6) Who is not a resident of a U.S. territory.

.03 Simplified Filing Method . (1) Overview . In the case of a CTC/ RRC filer, the IRS will process the filer’s Form 1040, Form 1040-SR, or Form 1040NR for taxable year 2021 to calculate the Federal income tax benefits described in section 5.01 of this revenue procedure if the form is prepared in the manner required by this section 5.03. The Form 1040, Form 1040-SR, or Form 1040-NR must include the information described in this section 5.03.

(2) Write Rev. Proc. 2022-12 on form . A CTC/RRC filer who files the Form 1040, Form 1040-SR, or Form 1040-NR on paper must indicate “Rev. Proc. 202212” above the printed material at the top of page 1.

(3) Required general information . (a) Filing status . A CTC/RRC filer must select their filing status for taxable year 2021 at the top of Form 1040, Form 1040-SR, or Form 1040-NR. (b) Personal information . A CTC/RRC filer must enter their name, mailing address, and SSN or ITIN, and the name and SSN or ITIN of their spouse if filing a joint return, on the appropriate lines of Form 1040, Form 1040-SR, or Form 1040-NR. (4) Individuals who could be claimed as dependents by other individuals . A CTC/RRC filer must check the applicable boxes in the top line of the “Standard Deduction” section of the Form 1040, Form 1040-SR, or Form 1040-NR for each individual who can be claimed as a dependent by any other individual for taxable year 2021. (5) General information regarding de- pendents .

(a) In general . A CTC/RRC filer should complete the appropriate lines in the “Dependents” section of Form 1040, Form 1040-SR, or Form 1040-NR regarding

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each dependent for taxable year 2021 who has an SSN or an ATIN. For each individual claimed as a dependent, a CTC/RRC filer must provide the name, SSN or ATIN, and relationship to the individual.

(b) CTC qualifying children . A CTC/ RRC filer should check the child tax credit box in Column (4) of the “Dependents” section for each dependent who is a CTC qualifying child for taxable year 2021 who has an SSN that is valid for employment.

(6) Limited information to provide in lines 1 through 38 . A CTC/RRC filer must leave blank lines 1 through 38 of Form 1040, Form 1040-SR, or Form 1040-NR even if the values for these lines are in fact not zero, except as provided in this section 5.03(6): (a) Line 12 (standard deduction or itemized deductions) . A CTC/RRC filer must enter the applicable standard deduction amount for their filing status on line 12a (standard deduction or itemized deductions) and line 12c (sum of lines 12a and 12b). The filer must leave line 12b blank.

(b) Line 14 (sum of lines 12c and 13) . A CTC/RRC filer must enter the amount entered on line 12c.

(d) Line 28 (2021 child tax credit entry) . A CTC/RRC filer may enter the amount of the filer’s child tax credit for taxable year 2021 on line 28. The credit amount may be computed using Schedule 8812 (Form 1040), available at https://www.irs.gov/ Schedule8812, and information from the filer’s Letter 6419 or the filer’s IRS online account at https://www.irs.gov/account. must attach the Schedule 8812 to the filer’s Form 1040, Form 1040-SR, or Form 1040-NR. Providing the correct amount of the filer’s child tax credit for taxable year 2021 will allow for faster processing of the return and issuance of any tax refund. The IRS will correct any incorrect amount claimed on line 28, but the correction will delay processing of the return and the issuance of any tax refund.

(e) Line 30 (2021 recovery rebate cred- it entry) . A CTC/RRC filer may enter the amount of the filer’s 2021 recovery rebate credit on line 30. The credit amount may be computed using the Recovery Rebate Credit Worksheet for line 30 in the 2021 Instructions for Form 1040 and Form

1040-SR, available at https://www.irs. gov/Form1040, and information from the filer’s Letter 6475 or the filer’s IRS online account at https://www.irs.gov/account. Providing the correct amount of the filer’s 2021 recovery rebate credit will allow for faster processing of the return and issuance of any tax refund. The IRS will correct any incorrect amount (other than $0) claimed on line 30, but the correction will delay processing of the return and the issuance of any tax refund.

(f) Lines 32 through 35a . A CTC/RRC filer must enter the sum of lines 28 and 30 on lines 32 through 35a.

(g) Line 35a checkbox (split direct de- posit indicator) . A CTC/RRC filer may not check the box on line 35a.

(h) Lines 35b through 35d (direct de- posit information) . A CTC/RRC filer may request the direct deposit of their taxable year 2021 tax refund into an account at a bank or other financial institution by entering the information on lines 35b through 35d. The CTC/RRC filer must not request their taxable year 2021 tax refund be deposited into an account that is not in the name of that filer (for example, a CTC/ RRC filer must not request a direct deposit of their taxable year 2021 tax refund into their tax return preparer’s account).

.04 Signature . A CTC/RRC filer must sign the return under penalties of perjury, including the filer’s identity protection personal identification number (that is, the filer’s IP PIN), if applicable, as part of the filer’s signature. In addition, the CTC/ RRC filer may enter the identifying information of any third-party designee, if applicable, at the bottom of page 2 of Form 1040, Form 1040-SR, or Form 1040-NR. A CTC/RRC filer who has been assigned an IP PIN, but has misplaced it, may retrieve the IP PIN at https://www.irs.gov/ identity-theft-fraud-scams/retrieve-yourip-pin.

.05 Simplified Return Is a Federal In- come Tax Return . A simplified return completed in accordance with the procedure described in section 5.03 of this revenue procedure is a taxable year 2021 Federal income tax return for all purposes, whether filed on paper or electronically.

.06 Accuracy of Return . Individuals who report incorrect information regarding qualifying children or other dependents or otherwise provide incorrect infor

mation on simplified returns may be liable for civil or criminal penalties. However, the IRS will not challenge the omission of the items of income on a simplified return that an individual files in accordance with this section 5 if the individual is eligible to use the procedure in this section 5 and the instructions in this section 5 direct that the items be omitted.