My refund from the IRS was almost $400 more than expected. It has been 3 weeks and I have not received anything from the IRS to explain. I filed in March and finally got the refund in October. I am curious if I made an error or if this is some kind of interest? My refund was more than $26,000.
Any advice on my next step as I don’t want to make any errors if that is the issue.
Chances are it is interest for the late processing for which you will get a letter in January for the taxable interest to report on the 2021 return ... check your online account with the IRS ... https://www.irs.gov/payments/view-your-tax-account
it would take a huge refund to generate that much interest for six months delay.
If it is for interest don't forget to add it to next years return.
I didn't notice that,
$26,000 is the number that popped out of my calculator. Really.
400 / (3% x 1/2year) = 26,667