Time is running out for thousands to claim $1 billion in 2021 tax refunds
More than 1.1 million people have unclaimed federal income tax refunds that are in jeopardy of becoming government property, according to the IRS.
Officials say there’s over $1 billion in 2021 refunds that are currently unclaimed with the April 15 deadline to claim it rapidly approaching.
“Under the law, taxpayers usually have three years to file and claim their tax refunds. If they don’t file within three years, the money becomes the property of the U.S. Treasury,” the IRS says on its website.
The median return for those who have yet to file their 2021 taxes is around $781, the IRS says, meaning a sizeable chunk of change could be forfeited to the U.S. Treasury if not claimed soon.
In addition to unclaimed cash, eligible taxpayers may also miss out on the Earned Income Tax Credit, which was worth up to $6,728 in 2021 for qualifying low- to moderate-income individuals and households. The estimate also doesn’t include the potential Recovery Rebate Credit.
Another reason to file these 2021 returns before the deadline includes the ability to use it toward outstanding debts, including unpaid taxed, child support and federal obligations like student loans.
Among those more-than 1 million taxpayers eligible for a return, over 116,000 are or were California residents. The median return for those Californians is about $600, although each household is different.
Below is the state-by-state estimates of individuals who may be due 2021 income tax refunds, according to the IRS:
| State or district | Estimated number of individuals | Median potential refund | Total potential refunds* |
|---|---|---|---|
| Alabama | 18,100 | $743 | $16,048,100 |
| Alaska | 3,600 | $832 | $3,464,100 |
| Arizona | 28,700 | $680 | $24,284,300 |
| Arkansas | 10,200 | $709 | $8,742,300 |
| California | 116,300 | $600 | $92,299,600 |
| Colorado | 19,200 | $781 | $17,267,500 |
| Connecticut | 11,700 | $860 | $11,092,500 |
| Delaware | 4,400 | $790 | $4,112,700 |
| District of Columbia | 2,700 | $883 | $2,642,900 |
| Florida | 69,800 | $732 | $61,087,200 |
| Georgia | 38,500 | $720 | $33,515,300 |
| Hawaii | 5,500 | $865 | $5,281,800 |
| Idaho | 5,500 | $649 | $4,495,800 |
| Illinois | 44,500 | $892 | $42,482,800 |
| Indiana | 25,000 | $778 | $22,581,300 |
| Iowa | 10,900 | $797 | $9,911,600 |
| Kansas | 9,700 | $746 | $8,640,200 |
| Kentucky | 13,800 | $747 | $12,098,400 |
| Louisiana | 17,000 | $777 | $15,278,200 |
| Maine | 4,100 | $817 | $3,714,100 |
| Maryland | 22,900 | $837 | $21,766,300 |
| Massachusetts | 27,000 | $936 | $26,581,100 |
| Michigan | 40,300 | $854 | $37,301,500 |
| Minnesota | 15,900 | $670 | $13,224,100 |
| Mississippi | 9,600 | $701 | $8,283,600 |
| Missouri | 22,900 | $722 | $19,960,200 |
| Montana | 3,600 | $679 | $3,068,800 |
| Nebraska | 5,000 | $760 | $4,439,000 |
| Nevada | 13,700 | $783 | $12,347,800 |
| New Hampshire | 4,800 | $833 | $4,509,400 |
| New Jersey | 31,700 | $657 | $26,537,500 |
| New Mexico | 7,200 | $843 | $6,569,300 |
| New York | 73,000 | $995 | $72,477,100 |
| North Carolina | 35,800 | $719 | $30,754,100 |
| North Dakota | 2,400 | $781 | $2,147,100 |
| Ohio | 39,400 | $762 | $34,735,100 |
| Oklahoma | 15,400 | $739 | $13,501,500 |
| Oregon | 19,300 | $772 | $16,981,500 |
| Pennsylvania | 53,100 | $993 | $52,121,800 |
| Rhode Island | 3,600 | $946 | $3,487,000 |
| South Carolina | 14,400 | $683 | $12,313,300 |
| South Dakota | 2,600 | $745 | $2,237,700 |
| Tennessee | 21,000 | $708 | $18,085,400 |
| Texas | 102,200 | $810 | $94,792,200 |
| Utah | 8,700 | $696 | $7,553,700 |
| Vermont | 2,400 | $816 | $2,136,900 |
| Virginia | 28,500 | $749 | $25,896,200 |
| Washington | 35,200 | $880 | $33,716,000 |
| West Virginia | 4,800 | $818 | $4,422,800 |
| Wisconsin | 14,300 | $730 | $12,425,300 |
| Wyoming | 2,100 | $790 | $1,922,800 |
| Totals | 1,142,000 | $781 | $1,025,336,800 |
Taxpayers who need information to file their 2021 return can access wage and income statements, tax transcripts or prior-year tax forms through IRS.gov, but though they should be aware that the process can take several weeks. Those missing tax documents can also request copies from employers, banks or financial institutions.
The IRS warns that 2021 refunds may be delayed if returns have not been filed for 2022 and 2023.
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