Can I get a refund even it I didn’t pay anything in?

This article is part of our 2017 Tax Season FAQ Series – If you have a question submit it to FAQ@rmfcpallc.com, and it may become part of a future post.

The answer is, surprising to some, but yes. There are some situations where a taxpayer has not made any payments and still gets a payment from the Department of Treasury after filing an income tax return.

Individual credits within the tax code are refundable regardless of whether or not there is a tax liability. The Earned Income Credit, Additional Child Tax Credit, American Hope & Opportunity Credit are some of the refundable credits that lead to refunds even without estimated taxes being paid or withholding on earnings submitted during the fiscal years.

The instances that this occur are certainly rare in compared to the total number of tax returns filed, but it, in fact, does exist.

Check back here for many more answers to your tax questions. Or call our office (717) 337-1414 to schedule an appointment with one of our CPA’s to help you prepare your tax return and maximize your benefits.