IRS has $1.3 billion for people who have not filed a 2005 tax return - KSWO 7News | Breaking News, Weather and Sports

IRS has $1.3 billion for people who have not filed a 2005 tax return

Washington_Unclaimed refunds totaling approximately $1.3 billion are awaiting over a million people who did not file a federal income tax return for 2005, the Internal Revenue Service announced today. However, to collect the money, a return for 2005 must be filed with the IRS no later than Tuesday, April 15, 2009.

"Especially in these tough economic times, people should not lose out on money that is rightfully theirs," said IRS Commissioner Doug Shulman. "People should check their records, especially if they had taxes withheld from their paychecks but were not required to file a tax return. They may be leaving money on the table, including valuable tax credits that can mean even more money in their pockets."

The IRS estimates that half of those who could claim refunds for tax year 2005 would receive more than $581. Some individuals may not have filed because they had too little income to require filing a tax return even though they had taxes withheld from their wages or made quarterly estimated payments. In cases where a return was not filed, the law provides most taxpayers with a three-year window of opportunity for claiming a refund. If no return is filed to claim the refund within three years, the money becomes property of the U.S. Treasury. For 2005 returns, the window closes on April 15, 2009. The law requires that the return be properly addressed, postmarked and mailed by that date. There is no penalty assessed by the IRS for filing a late return qualifying for a refund.

The IRS reminds taxpayers seeking a 2005 refund that their checks will be held if they have not filed tax returns for 2006 or 2007. In addition, the refund will be applied to any amounts still owed to the IRS and may be used to satisfy unpaid child support or past due federal debts such as student loans.

By failing to file a return, individuals stand to lose more than refunds of taxes withheld or paid during 2005. Many low-income workers may not have claimed the Earned Income Tax Credit (EITC). Generally, unmarried individuals qualified for the EITC if in 2005 they earned less than $35,263 and had more than one qualifying child living with them, earned less than $31,030 with one qualifying child, or earned less than $11,750 and had no qualifying child. Limits are slightly higher for married individuals filing jointly.

Current and prior year tax forms and instructions are available on the Forms and Publications Web page of IRS.gov or by calling 1-800-TAX-FORM (1-800-829-3676). Information about the Earned Income Tax Credit and how to claim it is also available on IRS.gov. Taxpayers who need help also can call the toll-free IRS help line at 1-800-829-1040.

  • Local NewsNewsMore>>

  • 'Crazy Rich Asians' shines bright at the box office

    'Crazy Rich Asians' shines bright at the box office

    Sunday, August 19 2018 11:37 AM EDT2018-08-19 15:37:04 GMT
    Sunday, August 19 2018 9:43 PM EDT2018-08-20 01:43:48 GMT
    (Sanja Bucko/Warner Bros. Entertainment via AP). This image released by Warner Bros. Entertainment shows Constance Wu in a scene from the film "Crazy Rich Asians."(Sanja Bucko/Warner Bros. Entertainment via AP). This image released by Warner Bros. Entertainment shows Constance Wu in a scene from the film "Crazy Rich Asians."

    Glitz has won out over guns at the North American box office this weekend as the gilded romance "Crazy Rich Asians" took No. 1 over Mark Wahlberg's action-packed "Mile 22".

    Glitz has won out over guns at the North American box office this weekend as the gilded romance "Crazy Rich Asians" took No. 1 over Mark Wahlberg's action-packed "Mile 22".

  • Science Says: Hotter weather turbocharges US West wildfires

    Science Says: Hotter weather turbocharges US West wildfires

    Sunday, August 19 2018 11:27 AM EDT2018-08-19 15:27:02 GMT
    Sunday, August 19 2018 9:43 PM EDT2018-08-20 01:43:33 GMT
    (AP Photo/Noah Berger). FILE - In this Aug. 7, 2018 file photo, firefighters monitor a backfire while battling the Ranch Fire, part of the Mendocino Complex Fire near Ladoga, Calif. The years with the most acres burned by wildfires have some of the hot...(AP Photo/Noah Berger). FILE - In this Aug. 7, 2018 file photo, firefighters monitor a backfire while battling the Ranch Fire, part of the Mendocino Complex Fire near Ladoga, Calif. The years with the most acres burned by wildfires have some of the hot...

    An AP analysis finds a clear connection between warmer temperatures out west and more land burned by wildfires.

    An AP analysis finds a clear connection between warmer temperatures out west and more land burned by wildfires.

  • 'Smile better': Hotel manager grabs employee by her face

    'Smile better': Hotel manager grabs employee by her face

    Sunday, August 19 2018 9:19 PM EDT2018-08-20 01:19:34 GMT
    (Source: KOIN/CNN)(Source: KOIN/CNN)

    Alexandra McMillin had just started her shift behind the front desk at a Comfort Inn in Newport, OR, in late May when Charles Cummings grabbed her by the chin.

    Alexandra McMillin had just started her shift behind the front desk at a Comfort Inn in Newport, OR, in late May when Charles Cummings grabbed her by the chin.

Powered by Frankly