Has anyone experienced clients receiving random 2021 refunds from the IRS?
I have two occurrences this week of clients that were electronically filed with taxes due. Both paid their taxes dew by check, and both received refund checks without explanation.
I had client receive an unexpected refund check. Although I'm pretty sure once client receives IRS explanation it will be estimated tax payments sent in but not reported on return.
What was your client's RRC situation ?
A client just called me yesterday he is self employed, owed $741 for 2021 which was paid auto debit, and he just received a check for $759, have no idea why. I guess in a couple of months we'll find out.
$741 + $759 = $1,500. If it was $1,400, I'd look into the RRC thing.
For $1,500, I'd bet on an unclaimed estimated tax payment of $1,500.
Arithmetically, however, it should be expressed as $759 - ( - $741) = $1,500 but you know what I meant.
Thanks for the information. A colleague recently called me and one of his clients received check unexpectedly and apparently unwarranted. He advised the client to return the check immediately to the i r s. So you may be onto something and there may be some kind of issue going on.
Recently, Ive had several get refunds for estimated payments that didnt get picked up on the return (one lady made all hers twice, I dunno how). But explanation letters arrived before the actual money did.
Return the check immediately to IRS? Don't wait a week or two for an explanation to show up in the mail? Probably just adding to the IRS backlog. How is the government harmed if the check remains uncashed?
You have clicked a link to a site outside of the Intuit Accountants Community. By clicking "Continue", you will leave the community and be taken to that site instead.