My Tax Refund
As for what to do with this years tax refund, plenty of people have advice on how you should treat this money. If you have healthy savings accounts and no debt, you might want to splurge. Maybe the refund gets you a brand new TV, furniture youve always wanted, or a boost to your vacation savings.
For US taxpayers who need to contact the IRS outside the US, IRS staff are available in embassies or consulates in Frankfurt, Germany; London, England; Paris, France; and Guaynabo, Puerto Rico. Hours of operation vary by country, but you can find out that information at the IRS website. Taxpayers outside the US can also contact the Philadelphia Service Center office.
According to the IRS, it takes approximately seven days to process a tax return filed electronically, and four to six weeks to process a return filed through the mail. As a result, the tax refund status of a return will not be available until that return is processed.
Two tools are available on the IRS site to assist taxpayers who encounter problems receiving their tax refund. If the refund wasn’t delivered because of an issue with the mailing address, the taxpayer can file a change of address online. The IRS estimates that refund checks should arrive within 21 days of the mailing date shown on the site; if the check has not arrived by that time, a taxpayer can alert the IRS to start a trace on the refund online.
On the other hand, if you do have debt, especially on high interest credit cards, a tax refund could repay some or all of that debt, and it will still be saving you money. You could avoid paying interest if you owe a couple thousand USD on a credit card. Another good thing to consider paying off is your car. Even if your tax return doesnt completely pay your car loan, it can reduce the amount of interest youll pay, and give you more equity in your car. Make sure you mark such repayments as paid to the principal, so they are only used to pay for equity in the car.