Tax Refunds: IRS Owes $ 1.3 Billion to One Million Americans Since 2017
Over a million Americans are entitled to tax refunds for 2017 – and they must be claiming them soon.
The Internal Revenue Service estimates that it owes $ 1.3 billion in unclaimed tax refunds to more than 1.3 million Americans who did not file tax returns for 2017.
These refunds due have until May 17 to file their 2017 returns.
Most taxpayers have three years to claim a refund if they haven’t filed a federal income tax return, according to the IRS. But after three years, the money becomes the property of the US Treasury Department.
“The IRS wants to help taxpayers who need to be reimbursed but have not yet filed their 2017 tax returns,” IRS Commissioner Chuck Rettig said in a statement. “Time is running out for these taxpayers. There is only a three-year window to claim these refunds, and the window ends on May 17th. We want to help people get those refunds, but they’ll have to file a tax return for 2017 quickly. ”
How to deposit
Here you will find instructions and forms for completing income tax returns for previous years. Filers can also call 800-TAX-FORM.
Those who lack the forms needed to file their returns should request copies from their employer or bank, according to the IRS.
“Taxpayers who cannot get the missing forms from their employer or another payer can order a free salary and income transcript from IRS.gov using the Get Transcript Online tool,” the report says. IRS. “Alternatively, they can complete Form 4506-T to request a salary and income transcript. “
Refunds can be withheld for those who did not file tax returns for 2018 and 2019.
In addition, the refund will be applied to any amounts still owed to the IRS or a state tax agency and can be used to offset unpaid child support or overdue federal debts, such as loans. students, ”the tax service said.
Why is this important
The IRS estimates that half of unclaimed refunds are worth more than $ 865.
And many working low- and moderate-income workers may qualify for the earned income tax credit.
“For 2017, the credit was worth up to $ 6,318,” the IRS said. “The EITC helps individuals and families with incomes below certain thresholds.
In 2017, the IRS said the income thresholds for credits were:
▪ $ 48,340 for individuals and $ 53,930 for married couples filing jointly with “three or more eligible children”.
▪ $ 45,007 for individuals and $ 50,597 for joint filers with two “eligible children”.
▪ $ 39,617 for individuals and $ 45,207 for joint filers with an eligible child.
▪ $ 15,010 for individuals and $ 20,600 for joint filers without eligible children.
This story was originally published April 6, 2021 9:48 a.m.