2020 Unclaimed Refunds of 940,000 IRS Reminds Taxpayers – Don’t Miss Out!

IRS Warns: Over $1 Billion in Unclaimed 2020 Refunds Risk Expiration

Urgent Call to Action: IRS Reminds 940,000 Taxpayers to File by May 17 for 2020 Refunds

The IRS is alerting taxpayers to the potential loss of over $1 billion in unclaimed refunds for tax year 2020, urging roughly 940,000 individuals across the U.S. to file their tax returns by May 17. With an average median refund of $932 for 2020, states like Texas, California, Florida, and New York have the highest numbers of potentially eligible individuals. IRS Commissioner Danny Werfel emphasized the urgency, stressing that time is running out for those who may have overlooked or forgotten about these refunds, urging taxpayers to act promptly to ensure they don’t miss out on claiming what’s rightfully theirs.

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2020 Unclaimed Refunds of 940,000 IRS Reminds Taxpayers – Don’t Miss Out!(PHOTO: Reuters)

Essential Documents: IRS Lists W-2, 1098, 1099, and 5498 Forms for Filing 2020 Tax Returns

To facilitate the filing process, the IRS advises taxpayers to gather necessary documents such as W-2, 1098, 1099, or 5498 forms from their employers or banks. Additionally, they can request a free wage and income transcript online using the “Get Transcript Online” tool available on the IRS website. While taxpayers typically have three years to file and claim tax refunds, this year’s deadline for unfiled 2020 returns was extended to May 17 due to the COVID-19 pandemic. However, individuals are reminded that any 2020 refunds may be withheld until returns for subsequent years (2021 and 2022) are filed to ensure compliance with tax obligations. Werfel emphasized the importance of reviewing records and gathering necessary documentation promptly to avoid missing the May deadline and potentially forfeiting owed refunds.

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