SEATTLE – You might have a chunk of $1.3 billion in uncollected income tax refunds waiting for you. But you need to move fast if you want to get it back.
The Internal Revenue Service says nearly 1.4 million people failed to file an income tax return in 2006. The IRS estimates the median unclaimed refund for that year is $604.
If you think you're one of those people, you need to file your 2006 return before April 15 or your money will become property of the U.S. Treasury. The IRS says there is no penalty for filing a late return that qualifies for a refund.
There is a catch: If you have also failed to file a return for 2007 or 2008, you won't get your 2006 refund. In addition, your refund money will first go to any debts you have to the IRS, child support or other federal debts such as student loans.
The IRS says some people may not have filed because they had too little income to require filing a tax return even though they had taxes withheld from their wages or made quarterly estimated payments.
