You May Be Getting a Surprise in Your Mail From the IRS
Is there anything that strikes fear in your heart and makes you hold your breath more than a letter from the IRS? OK, Maybe seeing red and blue flashing lights in your rearview mirror does the same thing (I know it does for me).
Anytime I see a letter from the IRS a hundred different things go through my mind. Am I about to be audited? Did my taxes get filed correctly? Did I forget to send the check for the taxes I owed? Did I forget to file my return? Did I make a mistake on my return?
Fortunately, if you get a letter from the IRS in the next couple of weeks, it could actually be good news. The IRS is about to send out $1.2 Billion in refunds and credits. The letters with refund checks will be going to people who got hit with fees for filing their 2019 or 2020 Federal income tax returns late.
The good news is if you are one of the 1.6 million people that were wrongly charged a late fee in either year or both, there's nothing you need to do. You won't need to re-file or request a refund. They will automatically be sent to you.
And if you failed to file your 2019 or 2020 taxes, you must act now to avoid monthly fees which can equal as much as 25% of your unpaid tax bill.
This could very well be the one and only time you and I are hoping to hear from the IRS. Even knowing this, if I do get a letter with the IRS listed in the return address, I can guarantee my heart may skip a beat or two!