There are thousands of taxpayers in the United States who don’t claim their tax returns every year. The Internal Revenue Service (IRS) says that more than 1.1 million people may be ignoring tax bills for the 2021 tax year. There is, however, a very important deadline: April 15, 2025. If this date is not met, these funds will belong to the federal government.
The IRS figures that more than $1 billion worth of refunds have not been received, with each taxpayer getting an average of $781 back. It’s important to note that this amount doesn’t include other benefits like the Earned Income Tax Credit (EITC) and the Recovery Credit, which could make the amount some people can get a lot higher.
Not only will you miss out on a possible tax refund, but you will also miss out on benefits that could help many families get back on their feet financially. People with low or middle incomes may be able to get the EITC. In 2021, it was worth up to $6,728 based on how many children the taxpayer had and whether they were married.
How to get a tax return from the IRS before the due date in 2021?
People who haven’t made their 2021 tax return yet may think the process is hard, but there are a few things that can be done to make it easier. First, get the paperwork you need, like a W-2, 1099, 1098, or 5498. You can get these from banks, companies, or other groups that gave them to you in the first place.
The IRS also has online tools to help taxpayers get this information. People can see copies of their old tax returns and check their tax records through their Individual Online Account. If you want a full list of the money you made that year, you can also ask for a transcript by mail or even file Form 4506-T.
It’s important to move quickly because the process can take weeks. In addition to getting a refund, filing your return on time helps you avoid problems with future returns or having money taken out of your IRS payments.
This could change how much the IRS refunds you
A lot of people will be able to get their money without any issues, but some may have money taken out of their return or offset. Some examples are back taxes or unpaid child support that need to be paid to the IRS or a state agency, and the refund may be used to cover those debts immediately.
Also, it’s important to know that if a taxpayer hasn’t turned in their 2022 or 2023 taxes, the IRS may hold off on giving them their refund until all of their tax responsibilities are met. This shows how important it is to file taxes on time, even if you didn’t make enough money some years to need an official return.
To avoid losing these refunds, the IRS says to start gathering the necessary papers right away instead of waiting until the last minute. A few minutes of paperwork today could get hundreds or even thousands of dollars back for a lot of people across the country.
