The tax filing date may have come and gone, but there’s still some fact-checking to do! Most taxpayers don’t realize that there’s a specific timeframe to claim their refunds. And if you aren’t reviewing your records correctly, there might be a chunk of money left on the table.
How You Might Lose a Tax Refund
In general, the most common reason for losing part of your tax refund is because you didn’t take full advantage of your credits in the first place. There are plenty of opportunities that can easily get overlooked when you aren’t aware of the potential benefits.
For example, say your tax liability was already brought down to zero by your other credits. You shouldn’t automatically think that everything’s all set. There might be even more credits available to you. Some of these items might be the Earned Income Tax Credit, the American Opportunity Tax Credit, or the Child Tax Credit.
Another possible scenario for losing a tax refund usually relates to seniors. While some seniors with a lower income may not be required to file a tax return, there are some key details you’d still want to consider. Having money withheld from your Social Security checks or retirement fund disbursements might mean that you’re owed a tax refund. But if you don’t file a return because of your income level, then you might be missing out.
Other tax refund mistakes can happen just because you weren’t able to file your return in a timely manner. Trying to manage tax prep on your own can lead to a lot of questions, and it’s not uncommon for people to feel flustered. You might be concerned about missing some information for your return and delay the entire filing. Or you might just forget to do a final review. You can’t let these types of things hold you back from getting your return filed correctly—and by the due date. Otherwise, you might lose your refund.
Next Steps to Claim Your Refund
The good news is that some refund mistakes don’t have to last forever. Taxpayers actually have a certain amount of time past when they filed or paid their taxes to make corrections. That could mean following up to claim a refund you’d forgotten. Or it might require you to file an amended tax return.
There are specific, hard deadlines for these situations. But it never hurts to investigate. You can gain a lot of peace of mind by having your most recent tax returns reviewed by an accountant. Then you’ll be armed with the knowledge you need on how to move forward in future years for your tax filings. Plus, you might learn that you still have refunds left to claim.
When you’re ready to check the facts, we’re here to help! Things can go a lot smoother when you team up with an accounting firm to claim your lost refund. Give us a call at (317) 588-3131 to schedule your consultation. Then we’ll figure out the best next steps!