Wondering how you’ll receive your refund from the IRS? If you are entitled to a tax refund, the IRS offers you several different options for receiving your refund.
The easiest way to get your tax refund is via direct deposit. This enables your funds to be placed directly into your savings or checking account, usually within a few weeks of when you file. The IRS allows you to split up your refund into three separate accounts, if you wish to do so.
If you don’t select direct deposit when you file your taxes, you will automatically be mailed a paper check. Keep in mind that getting a paper check from the IRS can often take much longer than direct deposit. If you would like to use your funds for an upcoming expense, selecting a paper check might not be in your best interest. If you don’t mind waiting, though, a paper check may be the best choice.
Applying to Subsequent Years
Are you the type of taxpayer who plans ahead? If so, consider applying your refund toward a future tax year. The IRS will allow you to forgo receiving any refund when you file and apply your refund toward a future owed balance. This is a good option for taxpayers who are thinking about moving into a self-employment position or who are otherwise expecting an increase in taxes owed in the coming years.
Have tax refund questions? You can call on Taxation Solutions, Inc. for answers! We’ll put our 40 years of tax knowledge to work for you.