In 2003, the IRS had 88,000 income tax refund checks totaling more $75 million -- an average of more than $750 per return went undelivered due to unreported changes of name or address or due to a marriage, death or divorce. In addition, each year approximately $450,000,000 million in IRS refund checks that are delivered but are uncashed each year

Also according to the Internal Revenue Service, more than $2 billion in unclaimed refunds are awaiting about 1.7 million people who failed to file an income tax return in the past three years. However, in order to collect the money, a return must be filed with an IRS office no later than three years following the year in which the return was due to have been filed. The IRS estimates that about half of those who could claim refunds would receive more than $584. Some individuals may have had taxes withheld from their wages, but had too little income to require filing a tax return.

In cases where a return was not filed, the law provides most taxpayers with a three-year window of opportunity for claiming a refund. If no return is filed to claim the refund within three years, the money becomes property of the U.S. Treasury. For 2001 returns, the window closes on April 15, 2005. The law requires that these returns be properly addressed, postmarked and mailed by that date. There is no penalty assessed by the IRS for filing a late return qualifying for a refund.

Other Federal tax programs are a source of unclaimed funds. In 2003 alone, more than 110,000 Child Tax Credit checks worth more than $55 million were returned and almost one-fourth of eligible taxpayers failed to claim the Earned Income Tax Credit. This refund could be greater than $4,200 for qualifying low-income workers.

Taxpayers must request a reissue if a tax refund check has been lost, destroyed or voided due to the passage of time. US Treasury checks are generally negotiable one year from the date of issue. However, there is a 3 year limit in which one can recover their lost, destroyed or voided refund check. This unclaimed refund check earns interest during this period. Since the unclaimed money is being held by the US Treasury an agency of the Federal Government, one's unclaimed tax refunds will not appear in a state unclaimed property database search.

For a search in our IRS databases and other information concerning a tax refund or a reissue order our Search and Report. (There is a $15.00 fee for this Service.)