It’s 2013. Do you know where your refund is? No, not your 2012 refund (arguably, no one knows where many of those are) but your 2009 refund. Nearly $1 billion in outstanding refunds remain unclaimed by an estimated 984,400 taxpayers who did not file a federal income tax return for 2009.
How much is a billion dollars? I know we throw around these “-illions” (millions, billions, trillions) like they’re nothing, but it’s a lot of money. How much? If the IRS gave away a dollar an hour, it would take more than 114,155 years to get rid of $1 billion.
Who is owed the most money? By the numbers, the IRS estimates that more folks in California (100,700) are owed refunds than taxpayers in any other state followed by Texas (86,700); the state with the least number of taxpayers owed a refund is Vermont (1,700). Taxpayers in Missouri are due the least average refund ($500) while taxpayers in Alaska are owed the largest average refund ($658).
Why might you be due a refund? Maybe you had too much withholding from your wages or made too much in quarterly payments. You might have also been eligible for the Earned Income Tax Credit (EITC). Even though you were due a refund, you might not have filed because you had too little income to require filing a tax return and you thought it wouldn’t make a difference. But that’s not always the case. You can’t receive the benefit of refundable credits – or other tax breaks which might result in a refund – unless you file.
Of course, if you owe the feds money (for student loans or back taxes, for example) or if your refund is otherwise earmarked for seizure (such as child support obligations), any refund will be offset by the amounts owed. Additionally, if you are not compliant or if you have years for which you haven’t filed returns, the IRS may hold your refund.
If you need a copy of the 2009 tax form (downloads as a pdf), visit the IRS website or call toll-free 800-TAX-FORM (800-829-3676). Remember that you’ll need your forms W-2, 1098, 1099 or 5498 from 2009 in order to file; if you don’t have them, request copies from your employer, bank, or other payer. If that doesn’t work, you can try ordering them from IRS.gov, filing a federal form 4506-T, Request for Copy of a Tax Return (downloads as a pdf), or by calling 800-908-9946.
If you are due a refund, you must file a federal income tax return in order to get your money. To claim your refund for the 2009 tax year, your return must be postmarked no later than April 15, 2013. And don’t worry: there is no penalty for filing a late return when you are claiming a refund.
If you don’t file for a refund within the proper time frame, you lose your right to claim it altogether. It becomes the property of the U.S. Treasury.
