For New Jersey residents, the clock is ticking on unclaimed tax refunds from the year 2019. The Internal Revenue Service (IRS) reveals that a staggering amount of approximately $1.5 billion in unclaimed refunds remains nationwide, with over $42 million specifically allocated to New Jersey due to individuals failing to file their 2019 tax returns.
To seize these expiring refunds, residents must take action before the looming deadline of July 17, as emphasized by the IRS. IRS Commissioner Danny Werfel acknowledges that the pandemic might have caused many to overlook filing their 2019 tax returns and urges individuals to promptly review their records and act swiftly before the deadline arrives.
Key Information on the Extended Window for 2019 Tax Returns
Due to the exceptional circumstances presented by the coronavirus pandemic, the typical three-year window for unfiled returns has been extended specifically for the 2019 tax year. However, it is crucial for taxpayers to ensure that their tax return is properly addressed, mailed, and postmarked no later than July 17. After this date, the unclaimed funds become the property of the U.S. Treasury.
It’s important to note that individuals who are seeking a 2019 refund but have yet to file their tax returns for 2020 and 2021 may face a delay in the distribution of their return checks, as the IRS may hold these checks until the pending returns are filed.
According to estimations provided by the IRS, more than 40,000 New Jersey residents are still eligible to receive a 2019 tax refund. The total amount of potential refunds is an impressive $42,035,900, with a median potential refund of approximately $924. The unclaimed refunds serve as a valuable opportunity for individuals to recoup their rightful money, and every effort should be made to meet the approaching deadline and secure these funds.
Understanding IRS Tax Refunds in the United States Eligibility, Process, and Timeline
The Internal Revenue Service (IRS) tax refund in the United States is the repayment of excess income taxes paid by an individual, corporation, or other legal entity. When you file your tax return annually, if you have paid more income tax during the year than what you actually owe based on your taxable income, you will be eligible to receive a tax refund from the IRS.
The overpayment can occur for several reasons. For individuals, it often results from having too much income tax withheld from their paychecks, or because they have made excessive quarterly estimated tax payments, or they claim various deductions and credits that reduce their total tax liability.
The process to receive a tax refund involves completing and submitting your annual tax return. Upon review, if the IRS finds you’ve overpaid your taxes, they will issue a tax refund. This refund can be received in the form of a paper check mailed to you, or through direct deposit into a bank account of your choice.
It’s important to note that the time it takes to receive your tax refund can vary. The IRS typically issues refunds within 21 days from when the tax return was received. However, it could take longer depending on various factors, including how you filed (paper or electronic), the complexity of your return, and if there are any errors or inaccuracies that need to be addressed.