Will The Trustee Take My Tax Refund?

Tax refunds are heavily disputed in bankruptcy cases and it isn’t hard to understand why that is. However, for most people they don’t know whether or not a trustee in their case will look to seize the refund. It can be a worrying time so what will happen? Read on and find out more.

Why Are Tax Refunds In Dispute?

Most refunds are considered payable income even though you haven’t as yet received the money but it will become a part of your estate during a bankruptcy. If you already have received the money and has been spent before bankruptcy then technically it is no longer a part of the bankruptcy estate. However, if the money has yet to be received into your bank account or is still within your account then it may be classed as part of your estate and it will need to be disputed. If you would like to find out more, please check out taxreturn247.com.au.

There Are Several Deciding Factors over Whether a Trustee Will Take A Refund

Tax refunds are more than likely going to be taken by the trustee in order to cover certain debts outstanding but there may be one or two omitting factors. For instance if the refund amount is considerably small then it may not be seized.view more information at http://economictimes.indiatimes.com/wealth/tax/missed-the-tax-return-filing-deadline-heres-what-to-do/articleshow/53597715.cms

However whether the refund amount can be exempted from being taken it will come down to a variety of things such as the amount of the refund, what the local authorities have to say and the trustee’s thoughts. Most will find their refunds are gone but there may be some allowances in some cases.

Trustees Will Make a Decision

Usually it is the bankruptcy trustee that makes the final decision over your refund. If the trustee believes the size of the refund is large enough to pay back all of your creditors then he or she will make the decision to take the money and use it to pay back the necessary people. However, let’s say you owed over ten thousand dollars and your refund was two hundred dollars, the trustee may decide not to take the refund as it isn’t worth their efforts. Again, this will vary depending on the trustee and what they believe is right for your case. To find out more, go to taxreturn247.com.au.

There May Be Exceptions

 

Tax RefundWhile the trustee does essentially have the final say there are potential exceptions as to whether or not they will take your refund. As mentioned above if the amount of money isn’t worth their time or efforts then they will probably not take the refund. However, this isn’t the only exception available. Your personal circumstances could play a vital part in determining whether the trustee will take the tax refunds. Of course if you happen to spend the money before the bankruptcy that is another story or if you spend the refund on a car or mortgage payment then usually there isn’t much a trustee can do.

Be Clear

At the end of the day it is your personal circumstances in which will determine whether or not your refunds are taken from you. Yes you may be lucky to find the refund isn’t taken but you can’t always be sure. It will be important to talk to the trustee and inquire about this so that it isn’t dragged out. If the money isn’t taken then it can be used for a necessary mortgage or rent payment. High tax refunds are more than likely to be taken but smaller ones probably won’t be.

Tax Refunds – Time Limits to Claim Refunds

Tax refunds do have certain time limits in which they can be claimed. You wouldn’t think this would be the case but the truth is that if you miss the deadline and not just the final deadline for your yearly return, you may say goodbye to the refund forever. This has happened because people don’t realize there are certain limits to what can be claimed and for how long also. So, what are the necessary time limits in which you can claim your refunds?

The Maximum Time Allowed

In most cases, you will claim refunds every year when filing your tax return but for some this isn’t always the case. However the Australian government will allow an exceptional time limit as to how long you can claim any past or previous refunds. You can claim within a two year period of paying your taxes for that dated year; but you can also claim within three years of when the returns have been filed. Now ideally you will file well before two years because the longer you wait the harder it may be to claim refunds.

Unlimited Time for Mentally or Physically Impaired Individuals

However for those who have been hurt in an accident and have become impaired and unable to handle financial matters themselves they don’t have a time limit. Mentally and physically impaired individuals do not have to rush to deal with these matters as there is no limitation as to when they can file for their refunds.read post here! Now, ideally if these individuals aren’t able to handle a tax return then a capable adult or guardian should help seek professional help with these matters. If the individual can’t file the returns themselves they could elect someone to do so for them and claim the refund amounts also. The money would still go to that individual however.

Joint Returns

Limits to Claim RefundsIf you file a joint return with your husband or wife then you have around six years to claim the tax refunds. However there may be a few issues if your partner has outstanding debts as your personal refund may also be taken to cover their debts. Now, this may or may not happen but it’s a possibility which is why you have to be aware of the risks of filing joint returns.get more info from http://www.techtimes.com/articles/171986/20160731/nvidia-geforce-gtx-970-customers-could-get-30-refunds-in-false-advertising-settlement.htm .Your refund may still be awarded as long as you claim the refund within a six year period; and as long as the debts of your partner have been paid off.

Yearly Filings

In most cases if you were to file at the end of the year your refunds would be whisking their way to you within a few weeks. However if you have failed to claim your refunds then there is still time to do so but you have to be quick. You are limited severely in many instances so you can’t afford to be lax about this. When you file your tax return you should look to ensure you are also claiming for any past or present refund so that there are no delays in getting it to you.

How to Get a Tax Refund Online For Your Overpaid Taxes?

Obtaining a tax refund after overpaying taxes shouldn’t be too difficult, not if you go through the right procedure. Thousands of people in fact overpay taxes every year and while many receive a refund after they’ve filed their returns, some are not. Unfortunately over payments are sometimes overlooked because of wrong tax codes or misinformation but it is possible to claim back these over payments. It can be a simple process to claim and receive a tax refund within a few steps.

Use a Tax Repayment Company

For those who have overpaid taxes and want to claim a refund there are only a few options available. Contacting the Australian government directly is a good idea but sometimes it is not a simple process as they have already seen to your current tax returns and have found you aren’t entitled to anything.

However going directly to the government isn’t always necessary. There are now many good tax repayment companies online that can help you deal with refunds easily. In most cases any refunds owed to you will be sorted out but as we all know mistakes can be overlooked so it’s best to use an unbiased source to help your claim.

Ensure All Necessary Documents and Data Are With You

Before you start the process of claiming overpaid taxes you are going to need certain pieces of information to assist you. Firstly, you’ll need pay checks and every document you have containing information about your taxes and what you have already paid. The documents will also help you make sure everything is fine as you only ever get one chance to claim overpaid taxes.

The government will not allow repeat claims for overpaid taxes which is something you have to be aware of because if you make a mistake with the information you provide you may not be eligible for a refund. You get one shot and one shot only so be wary before claiming a tax refund.visit website from http://www.eonline.com/news/786476/harry-potter-s-rupert-grint-loses-1-3-million-tax-refund-case

Fill Out the Necessary Tax Repayment Forms

Tax Refund OnlineThe process is considerably easy. You will need to provide certain information to prove you have overpaid taxes. Once the information has been added then the forms can be sent online which should take seconds to arrive at the Australian tax office. The processing time for these claims may vary but hopefully you will get an answer back within a relatively short period of time. You may not know whether this claim has been successful until a tax refund arrives in your bank account.

File Online and Take Action with Overpaid Taxes
In most cases those who have overpaid taxes for the past year will eventually receive a refund but if the over payment has been overlooked then filing for a repayment may be necessary. However, this process is exceptionally easy and it may help you to receive any over payments also. You may have filed tax returns but that may not prevent you from overpaying and being eligible for a return, especially if you haven’t noticed an over payment for a year or two.