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Refund time running out

March 6, 2007

What’s up with you Californians? I know you’ve got the beaches in the south and wine country up north to keep you occupied, but can’t you find some time to file your tax returns?

I’m talking specifically about your 2003 tax returns. Seems that about 200,000 of you Golden Staters didn’t get around to turning in that paperwork three years ago.

And by ignoring your tax tasks back then, you left more than $236 million in Uncle Sam’s hands.

Taxrefundcheck_2_5
But those left coast residents aren’t alone. They’re just part of (albeit the largest part of) 1.75 million taxpayers who missed out on refunds for the 2003 tax year because they didn’t file a return. Nonfilers are found in every state, the District of Columbia, U.S. territories and at various military postings.

All told, almost $2.2 billion in unfiled-for refund money is just sitting there, unclaimed.

The good news: They all can get their old refunds.

The bad news: They’ve got to file that ’03 return by this April 17.

Federal law gives you a three-year window of opportunity from the original filing deadline, which was April 2004, to claim old refunds. After this April due date, the window slams shut and the U.S. Treasury gets to keep your cash.

The median 2003 refund, meaning that half of the taxpayers are owed more and half less, is $611. While most nonfilers are in California, the biggest median check amount goes to New Hampshire residents: $709.

You can check this IRS Web page to see how many folks in your state didn’t file three years ago and what the agency says is the median check amount there.

If you’re one of these folks, set aside your 2006 return for a minute and get to work on that 2003 Form 1040! It’s not that hard; you can get 2003 forms and instructions here.

And do it soon. This oversight is even worse than simply over-withholding during one tax year. You’ve given the guv’ment three-plus years of an interest free loan!

At least get your principal back.

Now!

Or kiss it goodbye forever.

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The More Tax Posts tab at the top of this page will take you to, well, more tax posts. You also can search below for a tax topic. 

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TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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