The clock is winding down on a deadline for those who may have unclaimed federal tax money from 2010. “Under the law, you have three years to claim a refunds. And for tax year 2010, that window closes on April 15th of this year,” according to IRS spokesman Chris Miller.
He says the amount of unclaimed dollars by Iowans for 2010 is in the millions. “We estimate that there are about 9,200 people in Iowa who have somewhere in the neighborhood of $7.1 million waiting for them because the didn’t file a 2010 tax return,” Miller says.
That averages out to around $500 for each person. “The question comes up ‘why would someone not file a tax return?’ Well, generally didn’t these are people who didn’t make a lot of money in 2010 — maybe students or part-time workers — and they didn’t file a tax return because they weren’t required to file one,” Miller says. “But what some people don’t understand, is that by not filing a tax return, you are potentially missing out on money that was withheld from your paycheck.”
Miller says those who didn’t file in 2010 could also be due some tax credits that also require a return. “You simply have to file a back tax return for 2010. And you can find old 1040 forms on our website: www.irs.gov. If you need old W-2’s or 1099’s you can check with your employer or the bank. And then mail in that return,” Miller says.
There is no penalty for filing a late return qualifying for a refund. The law requires that the return be properly addressed, mailed and postmarked by April 15th for you to be able to collect the payment.