Some taxpayers will receive checks

INDIANAPOLIS – Automatic Taxpayer Refund payments started hitting bank accounts earlier this month, but many Hoosiers are still waiting for the money to show up.

The state is distributing the payments in two different ways, sending some payments via direct deposit and mailing checks in other cases.

The $125 payments are the result of a state law that returns money to Hoosier taxpayers when Indiana finishes the fiscal year with a surplus. Couples who filed their taxes jointly will receive a one-time payment of $250.

The state said direct deposit is the most likely method for people to get their money, but there are cases in which a check will be mailed.

A mailed check is likely under the following circumstances:

• Taxpayers provided direct deposit information tied to refund advance loans or similar circumstances
• Taxpayers filed an extension to pay their 2021 state tax return
• The state encounters a problem preventing the money from being directly deposited into an account

Paper checks will be issued at the beginning of July and continue through September. The state will mail them to a taxpayer’s last known address, generally the one listed on their most recently filed tax return.

The state also noted anyone with an unpaid state income tax liability will have their Automatic Taxpayer Refund applied to that balance. They would then receive any remaining amount. The payment could also be applied to outstanding liabilities to a state agency, state university, local government or the IRS.

The state acknowledged it’s possible eligible taxpayers may not initially receive a payment due to the “complexities” of sending the money. Taxpayers who haven’t received their payment by Aug. 31 should contact the Indiana Department of Revenue.

What happens if your check gets lost in the mail?

Taxpayers will need to complete an Affidavit of Lost or Not Received Warrant (State Form 42850).

If a check is issued to an individual who’s now deceased, the estate will need to fill out a Distributee’s Affidavit for Distribution of Estates (State Form 49377), if applicable, or an Affidavit of Lost or Not Received Warrant.