Don’t depend on tax refunds to pay for holiday purchases
As the 2020 state income tax filing season approaches, the Michigan Department of Treasury cautions taxpayers about depending on receiving their refund by a certain date to pay for large holiday purchases because some tax returns may require additional review and take longer to process.
“Every state income tax return is unique,” State Treasurer Rachael Eubanks said. “That means every income tax refund is also unique. While most refunds are typically issued two weeks after being accepted by the state, it’s best to plan ahead and understand that receiving your refund could take longer than expected due to unforeseen circumstances.”
Factors that can affect the timing of a refund include:
— Security reviews to help protect against identity theft;
— Incomplete or inaccurate state income tax returns;
— Mathematical errors;
— Special circumstances related to state income tax credits.
The state Treasury Department will contact taxpayers through the U.S. Postal Service when more information is needed to process a state income tax return.
For the 2018 tax year, more than 4.8 million returns were processed by the state Treasury Department, with 91% of returns reviewed and processed without requesting additional information from taxpayers.
Electronically filing state income tax returns is safer, faster and more accurate. More than 4.1 million returns are e-filed annually.
To learn more about taxes in the state of Michigan, go to www.michigan.gov/taxes.