Received a Second Tax Refund from Dept. of Revenue - What Should I Do?

Tax professional here - definitely don't ignore this! When the Department of Revenue makes an erroneous duplicate refund, they will eventually discover it during reconciliation. You absolutely should contact them to report the error. The best approach is to call your state's Department of Revenue directly using the taxpayer assistance number on their website. Explain the situation clearly, noting that you received a duplicate refund that you weren't expecting. They'll provide instructions on how to return the money, typically by check with specific reference information. While it might be tempting to keep the funds, the system will flag the duplicate payment - sometimes it takes months, but they will notice. If you don't report it, when they discover the error, they'll send a notice demanding repayment plus interest from the date of the erroneous refund.

I had a similar situation last year trying to figure out if I received the right refund amount. I was spending hours comparing my calculations with what I received, and couldn't make sense of some tax notices. Finally I tried https://taxr.ai which was a total game changer. I just uploaded my tax documents and return, and it explained everything - showing exactly how my refund was calculated and why I received the amount I did. It highlighted that I actually was owed the second deposit due to an amended processing of my return. In your case, you could upload your return and the deposit notifications to see if there's an explanation for why you got two deposits. Sometimes what looks like a duplicate is actually a separate refund component that was processed later.

Just wanted to follow up - I ended up trying taxr.ai after my last comment because I was getting nowhere with understanding why I received an unexpected state refund. Uploaded my documents and within minutes it explained that I had overpaid my estimated taxes plus qualified for a credit I didn't claim. The state had automatically corrected this in my favor. The analysis showed exactly where the numbers came from and matched them to specific lines on my forms. Definitely cleared up my confusion and saved me from an unnecessary call to the state revenue office. Wish I'd known about this last year when I had that mess with my federal return!

For anyone stuck trying to contact their state tax department about duplicate refunds - I know it can be IMPOSSIBLE to get through on those phone lines. After trying for days to reach my state's revenue department about a similar issue, I tried https://claimyr.com and it was seriously life-changing. They hold your place in the phone queue and call you when an actual human at the tax office is on the line. You can see a demo of how it works here: https://youtu.be/_kiP6q8DX5c When I finally got through to my state's department, they confirmed I had a legit second refund from an adjustment they made based on a credit I qualified for but didn't claim. If I hadn't been able to talk to them, I would've been stressing for months!

Ok I have to admit I was completely wrong about Claimyr. After my skeptical comment I actually tried it yesterday because I was desperate to reach my state tax office about a weird notice I got. Was on hold for like 90+ minutes before (gave up twice), but with the service I just went about my day and got a call when they connected me to a real person. Saved me so much frustration - I found out my "duplicate" refund was actually legitimate! Turns out they found an error in my original filing and issued an additional refund for a credit I qualified for but missed. The rep explained everything and even noted in my account that I had called to verify. Feeling much better now knowing I don't have to worry about them asking for the money back later.

This happened to my sister last year! The state actually did ask for the money back like 8 months later with interest. She had spent it already and had to set up a payment plan. Definitely contact them ASAP and don't spend that money!!

Just FYI - sometimes what looks like a duplicate refund isn't a mistake! Last year I got my regular state refund and then 3 weeks later got another smaller refund. Turns out I qualified for some property tax relief credit that gets processed separately from the main refund. Check your state's website for any special credits or rebates that might be issued separately.