Time running out to claim $1.5 billion in refunds for 2019 tax year
The IRS announced that nearly 1.5 million people have until July 17, 2023 to claim refunds for the 2019 tax year. The IRS estimates almost $1.5 billion in refunds remain unclaimed because people haven't filed their 2019 tax returns yet. Under the law, taxpayers usually have three years to file and claim their tax refunds. If they don't file within three years, the money becomes the property of the U.S. Treasury.
But for 2019 tax return, people have more time than usual to file to claim their refunds. Usually, the normal filing deadline to claim old refunds falls around the April tax deadline, which was April 18, 2023 for the 2022 tax year. But the three-year window for 2019 unfiled returns was postponed to July 17, 2023 because of the COVID-19 pandemic.
Proposed Tax Legislation
The following is an overview of several recent tax proposals discussed or introduced in Congress over the past several weeks. It is important that you not treat these proposals as passed legislation. Many hurdles remain before any of these legislative ideas become law. In the meantime, it is useful to see what types of tax laws may be affecting you in the future.
Affordable Payment Agreements for Taxpayers Act (House of Representatives Bill 2675): This bill, introduced April 18th, proposes to waive installment agreement fees for taxpayers with an income below 250 percent of the Federal poverty level and taxpayers using direct debit.
For the 99.5 Percent Act (House of Representatives Bill 2676): This bill, introduced April 18th, proposes to amend the Internal Revenue Code of 1986 to reinstate estate and generation-skipping taxes.
American Innovation and R&D Competitiveness Act of 2023 (House of Representatives Bill 2673): This bill, introduced April 18th, proposes to amend the Internal Revenue Code of 1986 to restore the deduction for research and experimental expenditures.
Eliminating Paperwork for Startups Act (House of Representatives Bill 2611): This bill, introduced April 13th, proposes to amend the Internal Revenue Code of 1986 to require the Secretary of the Treasury to permit an election relating to property transferred in connection with services to be made in electronic form.
No taxation on PFAS Remediation Act (House of Representatives Bill 2615): This bill, introduced April 13th, proposes to amend the Internal Revenue Code of 1986 to exclude Per- and Polyfluorinated Substances (PFAS) remediation reimbursements from gross income.
Simplify, Don't Amplify the IRS Act (House of Representatives Bill 2556): This bill, introduced April 10th, proposes to improve and promote transparency, efficiency and operational integrity of the Internal Revenue Service.
Tax Transparency Act of 2023 (House of Representatives Bill 2515): This bill, introduced April 6th, proposes to amend the Internal Revenue Code of 1986 to require public disclosure of individual tax returns of the President, the Vice President, and Members of Congress, and candidates for such offices.
School Resource Officer Compensation Act (House of Representatives Bill 2478): This bill, introduced April 3rd, proposes to amend the Internal Revenue Code of 1986 to provide for an exclusion from gross income for compensation of certain school resource officers, and for other purposes.
The above are proposals. There are many steps each bill must go through before they are signed into law. Information retrieved from: GovTrack.us https://www.govtrack.us/congress/bills/subjects/taxation/6342