Who Qualifies for $750 tax penalty refund from IRS?

Traveling knowledge

By: John Derric

Internal Revenue Service (IRS)

The Internal Revenue Service (IRS) is sending refunds to more than 1.5 million people who missed the tax filing deadline

who file their taxes

taxpayers who file their taxes late without an extension pay up to 25% of the amount of tax they owe in penalties

credits averaging out to $750

About 1.6 million taxpayers who already paid a fine will receive an automatic refund, according to the IRS.

waiving the penalties for taxes

They will receive refunds or credits averaging out to $750 a person. In total, that would be $1.2 billion.

qualify for the penalty refund.

deadline to qualify for the penalty refund. Individuals who have not yet filed returns for the years 2022 or 2022 must do so by Sept. 30.

refunds will be send

According to the IRS, most refunds will be sent out by the end of September.

What is an RMD?

According to the IRS, your required minimum distribution is the minimum amount you must withdraw from your retirement

retirement assets

Retirees can now rest assured that with smaller withdrawals required each year, more of their retirement assets

tax benefits to retirement

There are many tax benefits to retirement accounts which is why so many Americans use them.

How are RMDs calculated?

Roth IRAs don't require withdrawals until after the death of the owner.

life expectancy factor

For example, if you are 76 and your IRA balance is $100,000, your RMD for the year would be $4,545.45.

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