April 18 is not only the deadline to file 2021 taxes, it will also be the last day for up to 1.5 million taxpayers across the country to claim up to $1.5 billion in back refunds.
The IRS warned Wednesday that 77,315 New Yorkers are owed an average refund of $896, for a total of $79,825,137 in funds available to New York residents.
Unclaimed income tax refunds are for 2018 Form 1040 federal income taxes.
“The IRS wants to help people who are due refunds but have not yet filed their 2018 tax returns,” said IRS Commissioner Chuck Rettig.
“But people need to act quickly. By law, there is only a three-year window to claim these refunds, which closes with the April tax deadline of this year. We want to help people get these refunds, but they need to file a 2018 tax return by this critical deadline,” he said.
In cases where a federal income tax return has not been filed, the law gives most taxpayers a three-year window to claim a tax refund. If they don’t file a tax return within three years, the money becomes the property of the US Treasury.
For 2018 tax returns, the window closes on April 18. The law requires taxpayers to mail and make sure the tax return is postmarked by that date.
The IRS notes that taxpayers seeking a 2018 tax refund can withhold their checks if they haven’t filed tax returns for 2019 and 2020. And the refund will be applied to any amounts still owed to the IRS or a state tax agency and it can be used to offset unpaid child support or overdue federal debt, such as student loans.
And the IRS said many low- and moderate-income workers can also claim the Earned Income Tax Credit (EITC). By 2018, the credit was worth as much as $6,431. The EITC is awarded to individuals and families whose income is below certain thresholds.
The thresholds for 2018 were:
$49,194 ($54,884 if married filing jointly) for those with three or more qualifying children;
$45,802 ($51,492 if married filing jointly) for people with two qualifying children;
$40,320 ($46,010 if married filing jointly) for those with a qualifying child; and
$15,270 ($20,950 if married filing jointly) for people without qualifying children.
Tax year 2018 returns must be filed at the IRS center listed on the last page of the current Form 1040 instructions.
Current and prior year tax forms (such as Tax Year 2018 Forms 1040, 1040-A, and 1040-EZ) and instructions are available on the IRS.gov Forms and Publications page or by calling 800- 829-3676. However, taxpayers can electronically file returns for tax year 2019 and later.
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