Many Utahns failing to get full tax benefits, IRS says

The Internal Revenue Service is urging taxpayers to be sure they do not overlook benefits to which they may be entitled.

Some are missing out on the special telephone excise tax refund and other benefits, such as the Earned Income Tax Credit.

The IRS said about 418,000 Utah residents are eligible for the phone tax refund, although so far only 278,000 have requested it. That means $4.2 million is being unclaimed. Details are available at www.irs.gov.

Also, 701,000 Utah taxpayers are eligible for IRS Free File, a free electronic filing service offered by nearly 20 companies for taxpayers with a 2006 adjusted gross income of $52,000 or less. Only 40,000 Utahns used the service last year, and the IRS home page has more information.

Between 166,000 and 177,000 taxpayers are eligible for the Earned Income Tax Credit. Only 133,000 claimed it last year. More about the credit is at the "1040 Central" link at www.irs.gov.

Free tax help in libraries, churches, community centers and other locations staffed by trained volunteers is available for about 166,000 Utahns. Only 17,000 used the service a year ago.

Taxpayers filing a simple return can call 800-829-1040 to locate the nearest Volunteer Income Tax Assistance Program site. In addition, senior citizens can take advantage of the free IRS Tax Counseling for the Elderly program by calling 800-829-1040 or AARP's Tax-Aide counseling program at 888-227-7669.

Also, refunds totaling approximately $2.2 billion are waiting for approximately 1.8 million people who failed to file a federal income tax return for 2003. About 10,000 Utahns failed to file a 2003 return but have a refund available, with the estimated amount of unclaimed refunds being more than $10.7 million.

Current and prior-year tax forms and instructions are available on the "Forms and Publications" page of www.irs.gov or by calling 800-TAX-FORM (800-829-3676). Taxpayers who need help also can call the IRS help line at 800-829-1040.