Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Revieved IRS check for $13.73
Old 08-25-2020, 07:34 AM   #1
Thinks s/he gets paid by the post
 
Join Date: Oct 2019
Posts: 1,395
Revieved IRS check for $13.73

I just recieved a check for $13.73 from the IRS without any preceding letter.
However on the check I see,
PHILAD 12/2019 TAX REFUND 30 INT $ 13.73
So, I suspect it is an interest payment. Last year I paid $0 tax, but, I way overpaid my quarterlies.

Is the IRS paying interest on quarterly over payments?
Time2 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 08-25-2020, 07:37 AM   #2
Thinks s/he gets paid by the post
 
Join Date: Mar 2012
Posts: 2,178
If you filed your taxes on time this year and had a refund, you received an interest credit.

https://www.irs.gov/newsroom/coronav...efund-interest
njhowie is offline   Reply With Quote
Old 08-25-2020, 09:23 AM   #3
Thinks s/he gets paid by the post
 
Join Date: Oct 2019
Posts: 1,395
Quote:
Originally Posted by njhowie View Post
If you filed your taxes on time this year and had a refund, you received an interest credit.

https://www.irs.gov/newsroom/coronav...efund-interest

Great, Thanks.
Time2 is offline   Reply With Quote
Old 08-25-2020, 10:33 AM   #4
gone traveling
 
Join Date: Apr 2011
Posts: 3,375
How much overpayment is allowed to be paid interest on? I mean 5% is a heck of a deal.
gerntz is offline   Reply With Quote
Old 08-25-2020, 10:40 AM   #5
Thinks s/he gets paid by the post
 
Join Date: Jan 2005
Posts: 2,911
We received this tax refund also and I was wondering what it was for, so thanks for this information.
Dreamer is offline   Reply With Quote
Old 08-25-2020, 11:10 AM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Amethyst's Avatar
 
Join Date: Dec 2008
Posts: 9,925
Last month, we got an IRS direct deposit of $2.83. No accompanying explanation. We haven't paid quarterlies for years; our refund, though quite large, was prompt. So it remains a mystery, which I lack the energy to investigate.
__________________
If you understood everything I say, you'd be me ~ Miles Davis
'There is only one success to be able to spend your life in your own way. Christopher Morley.
It involved a mannequin hand, and an electric shaver taped to a golf club! - "The Other Guys"
Amethyst is offline   Reply With Quote
Old 08-25-2020, 11:17 AM   #7
Recycles dryer sheets
PaunchyPirate's Avatar
 
Join Date: Feb 2014
Location: NW Pennsylvania
Posts: 409
As others have said, this is an interest payment from the IRS. Be aware that if the amount is over $10.00, you will receive a 1099-INT form next year at tax time from the IRS. You pay taxes on that interest!

Here is a link to an IRS press release about the topic:

https://www.irs.gov/newsroom/13-poin...age-18-dollars
PaunchyPirate is offline   Reply With Quote
Old 08-25-2020, 11:35 AM   #8
Thinks s/he gets paid by the post
 
Join Date: Aug 2010
Location: Back woods of Fennario
Posts: 1,095
Quote:
Originally Posted by Amethyst View Post
Last month, we got an IRS direct deposit of $2.83. No accompanying explanation. We haven't paid quarterlies for years; our refund, though quite large, was prompt. So it remains a mystery, which I lack the energy to investigate.
Ours was $4.19. I filed very late and our refund was relatively small ($320ish). Can't even guess how that deposit amount was calculated. Yawn...... Now back to my book....
__________________
"Time wounds all heels...." - Groucho Marx
LRDave is offline   Reply With Quote
Old 08-25-2020, 12:12 PM   #9
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
JoeWras's Avatar
 
Join Date: Sep 2012
Posts: 7,323
Quote:
Originally Posted by PaunchyPirate View Post
As others have said, this is an interest payment from the IRS. Be aware that if the amount is over $10.00, you will receive a 1099-INT form next year at tax time from the IRS. You pay taxes on that interest!
Don't get too close to any cliffs! Always allow room for surprise income.
__________________
Retired Class of 2018


JoeWras is offline   Reply With Quote
Old 08-25-2020, 12:15 PM   #10
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
SecondCor521's Avatar
 
Join Date: Jun 2006
Location: Boise
Posts: 5,302
Quote:
Originally Posted by gerntz View Post
How much overpayment is allowed to be paid interest on? I mean 5% is a heck of a deal.
As far as I know, they pay interest on the entire overpayment, no matter how large.

However, two things to note:

1. The interest rate they're paying dropped from 5% to 3% recently.

2. They only pay you if they're "late" getting you your refund, and "late" is defined by them, not you. This year that happened a lot because of the virus, however in a typical year it's unlikely and not something I would count on.
__________________
"At times the world can seem an unfriendly and sinister place, but believe us when we say there is much more good in it than bad. All you have to do is look hard enough, and what might seem to be a series of unfortunate events, may in fact be the first steps of a journey." Violet Baudelaire.
SecondCor521 is offline   Reply With Quote
Old 08-25-2020, 07:38 PM   #11
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Koolau's Avatar
 
Join Date: Jul 2008
Location: Leeward Oahu
Posts: 5,529
Quote:
Originally Posted by SecondCor521 View Post
As far as I know, they pay interest on the entire overpayment, no matter how large.

However, two things to note:

1. The interest rate they're paying dropped from 5% to 3% recently.

2. They only pay you if they're "late" getting you your refund, and "late" is defined by them, not you. This year that happened a lot because of the virus, however in a typical year it's unlikely and not something I would count on.
Okay, I feel much better now. At first, I thought maybe they'd grown a heart or at least developed some intelligible rules. I should have known better. Very little has changed, but YMMV.
__________________
Ko'olau's Law -

Anything which can be used can be misused. Anything which can be misused will be.
Koolau is offline   Reply With Quote
Old 08-26-2020, 04:22 AM   #12
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jan 2018
Location: Tampa
Posts: 7,954
No interest check for me yet, as still waiting for my refund.
__________________
TGIM
Dtail is offline   Reply With Quote
Old 08-26-2020, 07:05 AM   #13
Recycles dryer sheets
 
Join Date: Oct 2017
Posts: 456
I got one yesterday too, $24. It said 2019 Int


I also overpaid my quarterly estimates.
Stormy Kromer is offline   Reply With Quote
Old 08-26-2020, 07:12 AM   #14
Thinks s/he gets paid by the post
euro's Avatar
 
Join Date: Oct 2015
Posts: 1,572
Quote:
Originally Posted by Dtail View Post
No interest check for me yet, as still waiting for my refund.
Well, at those interest rates, it may well be in your favor if they wait another 6 months....
euro is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Deceased Stimulus check returned to IRS question Drake3287 FIRE and Money 9 08-13-2020 09:35 AM
Gut-check this plan to Bounce our Last Check...! DINK-FIRE Hi, I am... 5 08-23-2018 06:13 AM
Law school debt (check), debt paid down (check), retirement (...) WhatsinaName Hi, I am... 7 08-13-2014 02:13 AM
Fan lined up?check.Excrement ready to hit? check poboy Other topics 130 04-23-2006 08:48 PM
Living Check To Check: Saving Too... MYPROcheckGRESS Young Dreamers 38 02-16-2006 04:36 PM

» Quick Links

 
All times are GMT -6. The time now is 11:30 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2021, vBulletin Solutions, Inc.