Wanderer wrote: Or ... are they afraid claiming it might lead to other questions with the IRS they don't want to approach ?

Its possible, but I think its more small dollars for a lot of people where that gets slipped in the cracks. I could be wrong though.

Or ... are they afraid claiming it might lead to other questions with the IRS they don't want to approach ?

I don't believe that people really forget to follow up on their refunds. They must make so much money, it is not a factor in their thoughts. It would be nice to be able to have some "found" money and invest it or buy something you have wanted for a long time. Never hurts to dream!

Goldbug wrote:

FrankN wrote: Its likely people who are not organized with their financial situation.

True and the original post was seven years ago, so some of these overpayments may not ever be able to be claimed. Some of the people owed money may have passed away or left the US.

That is a good point. I would imagine the amount for each individual is low as well. If it is a high dollar amount for one individual, I would think the party would try to claim it.

FrankN wrote: Its likely people who are not organized with their financial situation.

True and the original post was seven years ago, so some of these overpayments may not ever be able to be claimed. Some of the people owed money may have passed away or left the US.

Its likely people who are not organized with their financial situation.

Breakinger wrote: I was excited to read this article because I've heard a lot about this, but the article no longer exists.

The article has gone, but the IRS "Where's my Refund" site is here: https://www.irs.gov/refunds I just checked mine, but I'm owed nothing. Guess it confirms I haven't overpaid! CNN say there's nearly $1Bn unclaimed now, so it is worth checking.

I think one of the issues is they don't know where to send the money. Its not that they are holding on to it purposely, its just they don't have the information on where to send it.

FrugalFran wrote: I thought an unclaimed refund had a limit of three years. Is that incorrect? And how does it happen that so much money is sitting there without going to the person who earned it?

That is what I was wondering too. It seems like they would do everything that they can to get in touch with the person that the money is owed to. Why can't they just send them an alert when they file their taxes for the following year? It just seems like such a waste for it to sit in an account with no one touching it. How many people actually know about these accounts anyway? I sure didn't know anything about it.

I thought an unclaimed refund had a limit of three years. Is that incorrect? And how does it happen that so much money is sitting there without going to the person who earned it?

The money stays in the account until it is claimed. You should go on and check the website often to see if you are owed any money.

There is a statue of limitations, but I believe its a very long time. They basically keep it until someone claims it.

I was excited to read this article because I've heard a lot about this, but the article no longer exists. Does anyone know what the IRS does with all of this unclaimed money? Does it just sit around and wait for someone to claim it?

Thanks for the info Mary! Everyone, give it a shot, you may never know! I know there is nothing there for me, but I did type in my husband's info.....$0, error!

RE:
https://www.financeglobe.com/Finance/Articles/articles/354/1/IRS-Has-1235-Million-in-Undeliverable-Tax-Refunds/Page1.html