Is Your State in Financial Trouble? How this Could Affect Your State Tax Refund StatusPublished:
The economy hasn’t just been rough on individual taxpayers. It’s also hit states right in their own wallets. So what does this mean for you and your state refund status? What do you care if your state is in need of financial help?
Well, it could drastically affect your state refund status. Instead of the big check you’re expecting from you state’s tax office, you might just get a big fat IOU. Or you might end up waiting for your direct deposit for months on end, wondering what happened.
‘But they can’t do that!’ you might shout. However, you’d be wrong. In fact, it’s happened before to other people’s state refund statuses!
Just last year, states like Alabama and Hawaii had trouble paying out tax refunds to taxpayers. Despite owing them the money from their state refund status, they were simply unable to pay. This was a huge problem for many taxpayers expecting that state refund status money soon after they filed.
In North Carolina, some taxpayers didn’t get their money until close to the end of the year! This wasn’t because of any one person’s fault; this was because the state was just strapped for cash. They slowly doled out the money from taxpayers’ state refund status over the year so they didn’t go broke.
Other states announced that they ‘may’ have problems. Kansas and Iowa hinted that a delay on paying out funds from taxpayers’ state refund status. In the end, though, it wasn’t nearly as bad as other states.
How Can I Check?
Luckily, states have been pretty open about their problems. If there will be a delay in the funds from your state refund status, they will most likely send out a press release. It also should be in plenty of time for you to prepare for this problem.
If you’re still worried about it, then you can contact your state’s tax office. Each office will have a phone number, email or address for you to contact them with. This way you can ask if there will be a delay in the funds from your state refund status and what to do if a delay exists.