State Tax Refund

Nearly 67 percent of all taxpayers around the country are entitled to state tax refunds, and the amount of these refunds is worth lining up for. In the state of California, for example, refunds averaged around $760. The average for most other states was about $550 in 2005.


Guidelines vary from state to state, so it is best to consult an accountant. As a general rule, though, low-income individuals and families could claim property-tax refunds or rent credits if they filed income tax returns. And in many cases, you can still get tax refunds even if you do not meet the tax filing threshold, because you may have money withheld from your paychecks, or because you may be eligible for the federal earned-income tax credit. This applies if you earn less than $33,000 and have more than one child, or earn less than $29,000 and have one child, or earn less than $11,000 and do not have a child.


Are state tax refunds taxable? Yes and no. State tax refunds are typically taxable the year you receive them. If you overpaid your state income tax last year and your state returned your money this year, for example, you must pay taxes on it this year. Expect to receive (if you haven't yet) a form 1099 from your state, reminding you about that returned money. Your state also sent a copy to the IRS, binding you to pay the appropriate taxes. But there are exceptions.


The state tax refund is fully taxable if you detailed the deductions on your federal tax returns. Check with your accountant, though, because there's still a chance that part of it is tax-free (even if you did itemize). If you owed the alternative minimum tax during the year of the refund, for example, there's a chance that your refund may not be taxable.


But if you are among the 70 percent of taxpayers who did not itemize deductions on your return, then you don't have to worry about a thing. You do not have to pay taxes on the state refund you received.


Incometaxrefund.Us provides detailed information on Tax Refunds, Income Tax Refunds, State Tax Refunds, Tax Refund Estimators and more.





Online Tax Preparation Service. Fast Income Tax Refund. Offers rapid tax refund, online income tax return preparation and electronic filing it to IRS. Efile your taxes and get fast refunds. Easy online tax filing with rapid refunds.


Prepare and efile your federal and state income taxes online & get maximum & instant tax refund. Would You Like Your Money Faster?


Get Your Tax Refund Money Back in Fastest way Possible. Prepare and free E-File Online.Early Refund.


Online Income Tax Preparation - Fast Refunds IRS approved and guaranteed accurate. All 50 states. Free E-file your taxes.


Easy and Economical Income Tax Return Filing Online, Hassle Free Income Tax Preparation Services

  • Fastest Tax Refund Avilable
  • Online Free Tax Preparation and Free Filing for Federal Returns
  • Accuracy Guaranteed
Copyright © 2007-14 Income Tax All rights reserved