Many Do Not Claim Their Tax Refunds Each Year

IRS has $950 million in tax refunds from 2012 that will expire this year

Many Do Not Claim Their Tax Refunds Each Year
March 18, 2016

Taxpayers who did not file a 2012 tax return may have a refund waiting with the Internal Revenue Service. The IRS announced on March 10 that as many as one million individuals may be owed a portion of the $950 million in unclaimed refund money. These individuals failed to file a 2012 income tax return, but they may still claim their refund by mailing their return by April 18, 2016 (or April 19 in Massachusetts and Maine).

IRS Commissioner, John Koskinen, notes that the three-year timeframe in which to claim these funds does expire with this year’s filing deadline. Any unclaimed funds leftover will be transferred to the U.S. Treasury. The refund may also be applied to any unpaid tax amount, child support, or other federal debts that are past due, and it may also be held if the taxpayer has not filed a 2013 or 2014 tax return.

Koskinen pointed out that many of those who did not file a return were students and individuals who did not make a large amount of money in 2012. Many of these individuals may be eligible to claim the Earned Income Tax Credit, a tax credit designed to help those who make below a specific amount of money. During the 2012 year, this credit had a maximum worth of $5,891.

Individuals may obtain a tax form for 2012 from the IRS website or by calling the IRS.

You can check your credit score and read your credit report for free within minutes using Credit Manager by MoneyTips.

Photo ©

  Conversation   |   13 Comments

Add a Comment

By submitting you agree to our Terms of Service
irene | 03.18.16 @ 16:44
Oh how I wish one of those was mine!
Erin | 03.18.16 @ 16:45
I'd be willing to collect those funds - if only they would let me. That's a lot of money to go unclaimed.
Sarah | 03.18.16 @ 16:46
This just baffles me. How do you not claim it?
Nancy | 03.18.16 @ 16:46
This certainly makes you wonder why people don't claim them. I guess it could be any number of reasons.
Carla | 03.18.16 @ 16:48
Wow! I can't imagine not claiming a refund myself. I hope these people will collect what is owed to them.
Brittany | 03.18.16 @ 16:48
I didn't know that you were supposed to claim your refund..
Crystal | 03.18.16 @ 16:48
WOW. I had no idea. Passing along the info to several students who come to mind.
Jo Ann | 03.18.16 @ 16:49
I don't understand why anyone would not file their taxes and get their refund. I have heard a few say I owe student loans, Oh well at least they get paid if the Irs takes their refund.
Heather | 03.18.16 @ 16:49
That is crazy that many people don't claim them. Both I would love to have that found money.
Kyle | 03.18.16 @ 16:50
How is it that so many people don't know this? wow!
Kailie | 03.18.16 @ 16:51
I couldn't imagine not claiming my refunds. Its amazing that so many people don't or don't know they have to.
Shannon | 03.18.16 @ 16:51
I would never forget, however I have run across some 20 year Olds who knew nothing about having to file taxes. I learned all that in school, they need to bring it back to schools. Basic accounting should be required.
Annette | 04.13.16 @ 05:55
I know someone that was in the Service, he rejoined and shortly was given a dishornable discharge. They want their money back. I think to was 10k, he hasn't files since. He also found his long lost son at the age at the age of 11 so child support was involved. So, he felt why turn them in. He is 56 and still lives at home and dad I'd not doing well. Once dad passes he is on the street because he spends his money as fast as he gets it. Crazy mess. It could be some situations like that, back child support and they don't want too turn the papers or the papers in or can't afford to turn them.
$commenter.renderDisplayableName() | 05.14.21 @ 20:16