Is It Legal To Not File A Tax Return When You've Overpaid Throughout The Year?

So I've been wondering about this for a while now. My employer withholds a pretty hefty amount from each paycheck, and I'm pretty confident I'm overpaying my taxes by a decent margin. I'm talking maybe $1500-2000 extra going to the IRS every year based on my calculations. Here's my question - if I KNOW I'm overpaying and I'm fine with the government just keeping that extra money, is it actually illegal if I just... don't file a tax return? Like can I get in trouble for essentially donating money to the government? I'm not trying to avoid paying what I owe - quite the opposite. I'm paying MORE than required and simply not asking for it back. I'm just curious about the actual legal requirement here. Obviously most people want their refund, but what if I don't care about getting that money back? Do I still HAVE to file even when the IRS owes me money rather than the other way around?

0 coins

18 comments

Sasha Reese

•8M

While it might seem logical that the IRS wouldn't care if you "donate" extra money to them, you're still legally required to file a tax return if you meet certain income thresholds, regardless of whether you're owed a refund or not. For 2024 taxes (filed in 2025), single filers under 65 generally need to file if they earned more than $13,850. Married filing jointly under 65 need to file if they earned more than $27,700. These thresholds change with age and filing status. The obligation to file isn't based on whether you overpaid - it's based on your income. Not filing when required can lead to failure-to-file penalties if you actually owe taxes (though it sounds like you don't). However, even if you're owed a refund, there's a 3-year window to claim it - if you don't file within that time, you permanently lose your refund.

0 coins

Sasha Reese

•8M

If you made $14,000 as a single person, you're legally required to file even if you're just barely over the threshold. The IRS receives W-2s and 1099s from employers and other income sources, so they do have ways to track who should be filing even without a return. While the IRS is less likely to pursue someone they owe money to versus someone who owes them, not filing when required is still technically breaking the law. They might not actively "come after you" for the violation itself, but you'd be missing out on your refund and possibly other credits you're entitled to.

0 coins

Noland Curtis

•8M

I was having similar issues with overpaying and feeling lazy about filing. I found this AI tool that scans all your tax documents and tells you exactly what you're missing out on by not filing. Seriously saved me hours of wondering if it was worth it. I uploaded my W-2 to https://taxr.ai and it showed I was missing out on about $3200 between my refund and credits I didn't know about. Their system flagged some deductions I had no idea I qualified for. The report broke everything down so clearly that even a tax novice like me could understand exactly what I'd be leaving on the table by not filing.

0 coins

Noland Curtis

•8M

It doesn't file for you - it analyzes everything and creates a detailed report showing what you'd get back and why. It's more like a "should I bother filing?" calculator that shows exactly what you're leaving on the table. Then you can take that info to whatever filing method you prefer. For security, they use bank-level encryption and don't store your documents after processing. I was nervous about that too at first, but they explain their security process on the site. After using it, I'm confident my information was handled safely - and knowing I was missing out on thousands made it totally worth checking.

0 coins

Vanessa Figueroa

•8M

Just wanted to follow up on my skeptical comment. I caved and tried the taxr.ai thing from above. I was honestly shocked - it found over $4200 I would have just given up by not filing. Turns out I qualified for an education credit from some classes I took last year that I didn't think counted. The system was really secure too - they don't keep your docs, just process them and show you what you're missing. For anyone wondering if they should bother filing when they've overpaid - definitely check first. I was ready to skip filing too until I saw how much I was about to leave behind.

0 coins

Abby Marshall

•8M

If you're struggling to get answers directly from the IRS about your specific situation, there's this service called Claimyr that can actually get you through to a human at the IRS without waiting on hold for hours. I used it when I had this exact question plus some other filing concerns. Check out https://claimyr.com to see how it works - there's also a demo video at https://youtu.be/_kiP6q8DX5c that shows the whole process. I was honestly amazed when they called me back with an IRS agent already on the line. The agent confirmed that yes, I was legally required to file even if I was owed money, but they also helped me understand the specific income thresholds that applied to my situation.

0 coins

Abby Marshall

•8M

They don't have special connections - they use a sophisticated callback system that navigates the IRS phone tree and waits on hold for you. When they reach a human agent, they call you and connect you directly to that agent. It's basically like having someone wait on hold on your behalf. I was skeptical too, but it actually works. I spoke with a real IRS agent who answered all my specific questions about my filing situation. It's not about getting special information - it's about saving hours of your life that would otherwise be spent listening to hold music and getting disconnected.

0 coins

Drew Hathaway

•8M

I need to eat crow about my skeptical comment above. After getting absolutely nowhere trying to reach the IRS on my own (3 hours on hold before being disconnected!), I tried the Claimyr service out of desperation. Within about 45 minutes, I got a call back and was connected to an actual IRS agent who answered all my questions about my filing requirements. The agent explained that even though I was owed money, I still needed to file based on my income level. She also mentioned that I'd be missing out on some credits I qualified for. Completely worth it to get clear answers from an official source instead of guessing or relying on internet advice.

0 coins

Laila Prince

•8M

Something else to consider - if you don't file, you're not just missing your refund. You could also be missing out on: 1. Stimulus credits you might still be eligible to claim 2. Earned Income Tax Credit if your income qualifies 3. Child/dependent credits 4. Education credits 5. Building your reported income history (important for getting loans, buying a house, etc.) I'm not a tax pro, but I've learned the hard way that there's often money left on the table beyond just your withholding refund.

0 coins

Laila Prince

•8M

I don't think there's some grand conspiracy to keep your refund money. The IRS actually sends notices to people who should have filed but didn't - that wouldn't make sense if they were trying to keep your money. The complexity comes from the tax code itself having thousands of provisions and special cases, not from some plot to confuse people into giving up refunds. Most tax software has made it pretty easy for straightforward situations. But the psychology might be right - when the process feels overwhelming, some people do give up and let the government keep money they're entitled to.

0 coins