IRS undelivered refund checks await taxpayers

DALLAS - An average refund of $856 is waiting for 9,627 Texas taxpayers whose undeliverable refund checks were returned to the Internal Revenue Service this year. The refunds can be claimed as soon as their owners update their addresses with the IRS. In some cases, a taxpayer has more than one check waiting.

Checks are awaiting Cherokee County residents Dora J. Alexander, Maida L. Harris, Harold Johnson and Tonya M. Lawson, all of Rusk; Eduardo Alvarez, Willie B. Baker Jr., Christopher R. Earl, Jaime Garcia, Tommy Morris, DeMunoz and Sandra L. Mosqueda and Michael A. and Brandie M. Youmans of Jacksonville; Francisco R. Baylon, Lila Cameron and Juan Orduna, all of New Summerfield.

"Every year, many taxpayers miss their refunds because they move without notifying the IRS or Postal Service of a change of address," said Clay Sanford, an IRS spokesman in Dallas. "For those missing their check, the IRS is making it easier than ever for taxpayers to update their information and claim their refunds."

The "Where's My Refund?" tool on IRS.gov enables taxpayers to check the status of their refunds. A taxpayer must submit his or her social security number, filing status and amount of refund shown on their 2006 return. The tool will provide the status of their refund and in some cases provide instructions on how to resolve delivery problems.

Taxpayers can access a telephone version of "Where's My Refund?" by calling (800) 829-1954.

The number of undeliverable refunds each year is a relatively small portion of all refunds returned to taxpayers. So far in 2007, the IRS has processed nearly 105 million refunds, totaling about $240 billion, either by mail or direct deposit.

In fact, undeliverable refunds account for less than one-tenth of 1 percent of all refunds, or about one in a thousand.

A refund check is normally returned as undeliverable when a taxpayer moves without updating his or her address with either the U.S. Postal Service or the IRS.

The list of taxpayers due undeliverable refunds this year rose about 21 percent from 95,746 last year. The sharp increase is due in part to the Telephone Excise Tax Refund. The refund is a one-time payment available on 2006 federal income tax returns. It was designed to return to taxpayers previously collected long-distance telephone taxes. Individuals, businesses and tax-exempt organizations are eligible to request it.

Refund checks are mailed to a taxpayer's last known address.

A taxpayer can also ensure the IRS has his or her correct address by filing Form 8822. Download the form from IRS. gov or request it by calling 1-800-TAX-FORM (800) 829- 3676.

Those who do not have access to the Internet and think they may be missing a refund should first check their records or contact their tax preparer, then call the IRS toll-free assistance line at (800) 829-1040 to update their address.

Signing up for Direct Deposit can put an end to undelivered refunds, as well lost or stolen refund checks. Taxpayers can receive refunds directly into personal checking or savings accounts. Direct Deposit is available for filers of both paper and electronic returns. Taxpayers can sign up for direct deposit on their tax form.