Honolulu, Hawaii 2021-06-07 12:52:36 –
(NEXSTAR) — The Internal Revenue Service will refund 2.8 million Americans who file tax returns early before the 2020 tax exemption law for unemployment compensation is enacted.
The American Rescue Plan, signed earlier this year, excludes unemployment compensation of up to $ 10,200 per taxpayer paid in 2020. Refunds will be calculated using the maximum allowance. Regular refunds are much less than $ 10,200.
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“So far, the IRS has identified 13 million taxpayers who may be subject to adjustments,” the IRS said in a statement. “Some people receive regular refunds, taxes and others. Some people apply overpayments to their debts. Others will not change. “
As of Monday, the IRS said it had considered more than 3.1 million returns and had more than 2.8 million refunds. The agency said it would start with the simplest returns, work on more complex calculations and continue the review until summer.
According to the IRS, taxpayers will receive a letter notifying them of the change in refund within 30 days of adjustment. If the adjustment makes the household eligible for an earned income tax credit, a family with children may need to file an amendment.
Tax refund: IRS says 2.8M will get overpaid unemployment money returned this week Source link Tax refund: IRS says 2.8M will get overpaid unemployment money returned this week