The IRS is encouraging taxpayers who haven’t filed their 2020 tax returns to file by the May 17, 2024, deadline, otherwise, they risk not receiving their refund. According to the IRS’ estimate, over $1 billion in refunds are due to the United States taxpayers who have not yet filed their 2020 income tax returns. Usually, the IRS limits taxpayers from being able to receive a refund after three years, but due to the COVID-19 pandemic, they have adjusted the deadline to May 17, 2024.
There are many credits that taxpayers may be eligible for such as the Earned Income Tax Credit and the Recovery Rebate Credit. Low and moderate-income workers could be eligible for up to $6,660 with the Earned Income Tax Credit if they have qualifying children. In addition, the COVID Recovery Rebate Credit could apply if the taxpayer did not receive one or more of the stimulus payments in 2020 or 2021. Between these two credits, filing before the May 17th deadline is crucial to receive your entitled refund.
The IRS also has many resources and options available for ensuring that taxpayers are able to file their taxes. If individuals no longer have their tax documents for 2020, the IRS has an online tool to help them access wage and income transcripts. In addition, taxpayers can submit a written request for these transcripts. However, the IRS encourages individuals to plan ahead if they choose this option, as it can take weeks to receive the transcripts this way. Lastly, there is free help available through the IRS’ Interactive Tax Assistant where taxpayers can search legal tax questions and receive answers at no cost. The IRS website also has many links and resources if individuals have additional questions.
With the deadline to file 2020 taxes approaching, taxpayers could lose out on the refund they are due, totaling more than $1 billion. To read the full notice or for more information, click here.
