IRS $932 Tax Refund – Eligibility, Claiming Procedure, Deposit Method 

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IRS $932 Tax Refund

The IRS reports that around 940,000 taxpayers have unclaimed refunds from the 2020 tax year, totaling over $1 billion. The median refund amount is $932, stemming from unfiled 2020 tax returns. The deadline to claim these refunds is May 17, 2024.

IRS $932 Tax Refund

The IRS has announced that approximately 940,000 taxpayers have unclaimed refunds from the 2020 tax year, totaling over $1 billion. The average median refund for 2020 is $932, and these refunds are a result of people not filing their 2020 tax returns. 

The deadline to claim these refunds is May 17, 2024, and if not claimed by that date, the money will become the property of the U.S. Treasury. The IRS is urging taxpayers to file their 2020 tax returns as soon as possible to ensure they don’t miss out on their refunds.

IRS $932 Tax Refund Eligibility 

There is a general criteria for filing a tax return to potentially claim a refund:

  • The $932 is an Average: The IRS announced that over $1 billion in unclaimed refunds exists from 2020 tax returns, with an average refund amount of $932. This means it’s not a guaranteed amount everyone receives.
  • Refunds Depend on You: The actual refund you might be owed depends on your individual tax situation in 2020. This includes your income, deductions you claimed, and any tax credits you qualified for.
  • Filed Taxes for 2020: You must not have already filed a tax return for 2020.
  • Did Not Owe Taxes: If you owed taxes for 2020, you wouldn’t be eligible for a refund.
  • May Have Missed Credits: You may not have realised you qualified for certain tax credits that could result in a refund, such as the Earned Income Tax Credit (EITC) or the American Opportunity Tax Credit (AOTC).

Claiming Your Unclaimed IRS $932 Tax Refund

If you suspect you might be owed a refund from your 2020 taxes, the steps to claim it:

  • Tax Forms: Locate your W-2s, 1099s, and any other relevant tax documents from 2020. These forms show your income and any taxes withheld by your employer or other payers.
  • Paper Return Required: Unfortunately, the IRS doesn’t allow electronic filing for past tax years. You’ll need to file a paper tax return using Form 1040.
  • Download and Print: Head to the IRS website to download and print the necessary forms. This includes Form 1040, any required schedules for specific deductions or credits, and potentially Form 1040-X if you need to amend a previously filed return.
  • Complete the Forms: Carefully fill out the forms with your tax information, ensuring everything is accurate and matches your documents.
  • Locate the Address: Find the designated mailing address for your IRS location on the IRS website. Each state may have a different address for processing tax returns.
  • Mail It In: Send your completed return, along with any required schedules, to the designated IRS address via certified mail (optional but recommended for tracking purposes).

IRS $932 Tax Refund Deposit Methods

There are generally two main ways the IRS delivers your tax refund:

  • Direct deposit: It is the quickest and safest method. When you file your tax return (including amended returns for 2020), you can choose to have your refund electronically deposited into your checking or savings account.
  • Paper Check: If you don’t specify direct deposit, or your return doesn’t qualify for it (e.g., errors or needing further verification), the IRS will mail you a paper check. Processing times for paper checks can be slower than direct deposit.
  • You don’t choose a specific deposit method for unclaimed refunds.
  • The option you select when filing your return (direct deposit or paper check) determines how you receive your refund.
  • Since you’re filing for a past tax year (2020), you won’t be able to use any online filing platform that might offer deposit options. You will have to submit a paper tax return.
  • When you file your 2020 tax return to claim any potential unclaimed refund, you can indicate your preferred deposit method (direct deposit or paper check) on the appropriate form (Form 1040).

IRS $932 Tax refund Timeline

The processing timeframe for your 2020 tax return refund depends on several factors:

  • Filing Deadline: The deadline to claim your 2020 tax refund, including any potential unclaimed amount, is May 17, 2024. Make sure to mail your completed return by this date.
  • Processing Time: The IRS typically states it aims to process paper tax returns within 6-8 weeks after they are received. However, this timeframe can be longer depending on the factors mentioned above.
  • Filing Method: Since electronic filing isn’t available for past tax years, filing a paper return for 2020 will likely take longer to process compared to an electronic return.
  • Completeness and Accuracy: Any errors or missing information on your return can delay processing while the IRS requests clarification or additional documents.

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