The IRS issues over 101 million tax refunds yearly – over 80% via Direct
Deposit. The average refund is over $3,000. With such high volume, it is
imperative that credit unions understand the unique requirements surrounding tax
refunds to avoid potentially large losses. These requirements address account
number/name matching situations, deceased recipients, refunds posting to
incorrect accounts, and refunds as exception items. This session will cover the
rights and obligations of the credit union, accountholder, and tax preparer.
Learn how to correctly handle these exceptions to minimize your credit union’s
- What if the name and account number
do not match?
- What happens if the account is closed?
- What if the
accountholder is deceased?
- What happens if the payments post to the wrong
- Who is at fault?
- What are the rights and obligations of the RDFI,
consumer, and tax preparer?
- IRS and NACHA opt-in programs to help the IRS
recover suspect funds
Michele L. Barlow, AAP, NCP, PAR/WACHA