Header

  Close Menu

Automatic Taxpayer Refund

Thanks to efforts over the last nine years that have allowed Indiana to fund critical needs while maintaining our state’s competitive tax environment, many Hoosier taxpayers will receive a one-time $125 taxpayer refund later this year under Indiana’s "Use of Excess Reserves" law.

The Automatic Taxpayer Refund is separate from any Indiana Individual Income Tax refund you may receive. There is nothing you need to do to receive this refund.

Am I eligible?

You will receive an Automatic Taxpayer Refund if you filed an Indiana resident tax return for the 2020 tax year with postmark date of Jan. 3, 2022, or earlier. An Indiana resident tax return means you filed your state taxes using one of the following:

  • Form IT-40, Indiana Full-Year Resident Individual Income Tax Return.
  • Form IT-40PNR, Indiana Part-Year or Full-Year Nonresident Individual Income Tax Return, if you were married and filed jointly AND you were an Indiana resident for the entire year (2020).
  • Form SC-40, Unified Tax Credit for the Elderly AND you resided in Indiana for more than six months in 2020.

How will I receive my Automatic Taxpayer Refund?

How you receive your Automatic Taxpayer Refund depends on information contained in your 2021 Indiana Individual Income Tax return. Your Automatic Taxpayer Refund is separate from other payments or refunds you may receive from the state.

You should receive your Automatic Taxpayer Refund by direct deposit if:

  • You filed an Indiana resident tax return for 2020 before Jan. 3, 2022; and
  • Filed a 2021 Indiana resident tax return by April 18, 2022; and
  • Listed direct deposit checking or savings account information for your 2021 Indiana Income Tax refund.

One-time direct deposits of $125 will arrive in bank accounts beginning in May and continue through mid-summer. The direct deposit memo will read “Taxpayer Refund (ATR)”.

Currently, the Auditor of State plans to mail Automatic Taxpayer Refund checks in late summer. * You will receive a check from the Auditor of State if:

  • You do not meet the requirements for direct deposit (see above); or
  • You filed for an extension of time to pay on your 2021 Indiana resident tax return; or
  • You included directed deposit information for an account associated with refund advance loans or similar arrangements; or
  • Your Automatic Taxpayer Refund could not be otherwise deposited directly into your bank account.

*This timeline is dependent on supply-chain issues affecting the paper industry and is subject to change.

Whenever possible, one refund of $250 will be issued by direct deposit or check for married couples filing jointly when both spouses are eligible for the Automatic Taxpayer Refund.

You should allow until Sept. 1 to receive your Automatic Taxpayer Refund. Additional guidance on what to do if you do not receive it will be provided on this website at that time.

Read Information Bulletin #110 Subscribe to Email Updates

Frequently Asked Questions

  • What is an Automatic Taxpayer Refund?

    Under Indiana’s “Excess Use of Reserves” law (IC 4-10-22) Indiana must issue a refund to Hoosier taxpayers when the state’s budget reserves meet certain thresholds, which happened for Fiscal Year 2021 and last occurred in 2012. This refund comes in the form of a $125 tax refund issued by direct deposit or check, and is separate from any Indiana Individual Income Tax refund you may/may have received for 2021.

  • Who is eligible to receive an Automatic Taxpayer Refund?

    The 2021 Automatic Taxpayer Refund will be issued automatically to all individuals who filed an Indiana resident return for the 2020 tax year and whose return had a postmark date of Jan. 3, 2022, or earlier. An Indiana resident return means:

    • A Form IT-40. If a married couple filing jointly files an IT-40, then both spouses will be treated as filing an Indiana resident return.
    • A Form SC-40, provided that the individual indicated that the individual resided in Indiana for the year in question. An individual that indicated residence in Indiana for less than six months in the taxable year will not be treated as filing an Indiana resident tax return for the taxable year.
    • A Form IT-40PNR, provided that the individual was married filing jointly AND that the individual was an Indiana resident for the entire taxable year, as verified by Schedule H on Form IT-40PNR.
  • What do I need to do in order to receive the Automatic Taxpayer Refund?

    You do not need to do anything to claim the Automatic Taxpayer Refund.

    This refund is separate from any Indiana Individual Income Tax refund you may receive. You do not need to do anything differently on your tax return. If you have not done so already, DOR suggests filing your tax return electronically and choosing to receive any refund due via direct deposit so we have your most current banking information in our records.

  • How much is the Automatic Taxpayer Refund?

    The Automatic Taxpayer Refund amount has been set at $125 per individual taxpayer. Whenever possible, DOR will issue a single deposit or check for $250 for couples who both met eligibility criteria and filed a joint tax return.

  • Will this go on my Indiana Individual Income Tax refund?

    No. The Automatic Taxpayer Refund is separate from refunds issued due to overpayment of state income tax. If eligible and there are no pending offsets or diversions under state law, you will receive a separate refund.

  • When will I get my Automatic Taxpayer Refund?

    The Automatic Taxpayer Refund will be issued first to individuals who filed a tax return and have listed direct deposit checking or savings information on their 2021 individual income tax return.

    One-time direct deposits of $125 will arrive in bank accounts beginning in May and continue through mid-summer.

    Currently, the Auditor of State plans to mail refund checks in late summer to those who requested their Indiana income tax refund by check, had their direct deposit returned, or who have not filed a return by April 18, 2022. Taxpayers who applied for an extension of time to file will receive a check. 

    This timeline is dependent on supply-chain issues affecting the paper industry and is subject to change.

  • Can I check the status of my Automatic Taxpayer Refund?

    DOR’s “Where’s my Refund” phone and internet lookups will not have Automatic Taxpayer Refund information. If you do not receive your Automatic Taxpayer Refund by direct deposit, the Auditor of State will issue a check in late summer. Information on what to do if you do not receive your Automatic Taxpayer Refund will be available on this website on or around Sept. 1.

  • Will my Automatic Taxpayer Refund be deposited directly into my bank account or will I receive a check?

    It depends on how your 2021 Indiana tax return was filed.

    The Automatic Taxpayer Refund will be issued first to individuals who filed a tax return and have listed direct deposit checking or savings account information on their 2021 Indiana Individual Income Tax return. For those individuals, the Automatic Taxpayer Refund will be paid as a direct deposit to the account designated on the return. For married individuals filing a joint tax return, the Automatic Taxpayer Refund for both spouses (if applicable) will be deposited into the designated account.

    Refund checks will be issued to those whom DOR was able to identify as having listed an account associated with refund advance loans or similar arrangements.

    The Automatic Taxpayer Refund will be issued as a check for individuals who have not requested direct deposit of refunds or who have not filed a return by April 18, 2022. In the case of married couples filing jointly and both spouses are eligible for Automatic Taxpayer Refund, the spouses will be issued one combined check. These checks will be sent to the last known address of the individual, generally the address listed on the most recently filed individual income tax return. In addition, if DOR attempts to issue an Automatic Taxpayer Refund by direct deposit but is not able to do so, the Auditor of State will send a check to the eligible taxpayer(s).

    Currently, the Auditor of State plans to mail Automatic Taxpayer Refund checks in late summer.

    This timeline is dependent on supply-chain issues affecting the paper industry and is subject to change.

  • What if I need to change my address?

    To update your mailing address:

    1. Go to INTIME at intime.dor.in.gov to complete the change of address process. A user guide is available at the bottom of the landing page to guide you through the process (login required);

    AND

    2. Send a message through INTIME’s secure messaging portal requesting that the Auditor of State send your Automatic Taxpayer Refund check to the new address. DOR will provide the information to the Auditor of State’s office.

  • What if I changed banks?

    For customer security, DOR cannot update banking information to facilitate direct deposits. If the financial institution rejects the direct deposit for any reason, the refund will be returned to DOR. The refund will be processed again as a check by the Auditor of State.

    Currently, the Auditor of State plans to mail refund checks in late summer.

    This timeline is dependent on supply-chain issues affecting the paper industry and is subject to change.

  • What if the recipient is deceased? How do I cash a refund check for a recipient who has died?

    Customers who died on or after Jan. 1, 2020 and meet other eligibility requirements will receive an Automatic Taxpayer Refund by direct deposit or check according to the information DOR has on file.

    Refunds issued by direct deposit that are undeliverable will be reissued as a check from the Auditor of State’s office.

    If a check is issued to an individual who is deceased, the individual’s estate or surviving heir will be required to complete a Distributee’s Affidavit for Distribution of Estates (State Form 49377) and mail it with the check they received to Auditor of State's office (AOS).

    Currently, the Auditor of State plans to mail Automatic Taxpayer Refund checks in late summer 2022.

    This timeline is dependent on supply-chain issues affecting the paper industry and is subject to change.

  • Why did I not get the full refund amount?

    Your Automatic Taxpayer Refund may be used to offset unpaid state or federal tax liabilities, or liabilities to other state agencies, including – but not limited to – unpaid child support or unemployment overpayments, and unpaid tuition to Indiana public colleges and universities.

    You will receive a letter if your Automatic Taxpayer Refund is used to offset a liability. This letter may arrive after you receive the refund.

    DOR cannot resolve issues with offsets requested by the IRS or other organizations. You must contact the organization requesting the offset directly if you have questions or need assistance. The organization(s) will be listed in the letter you receive from DOR.

    If the balance on your offset(s) is less than the amount of the ATR, you will receive a check from the Auditor of State for the amount of the ATR minus the amount offset. Currently, the Auditor of State plans to mail Automatic Taxpayer Refund checks in late summer. This timeline is dependent on supply-chain issues affecting the paper industry and is subject to change.

  • Will I get a refund if I’m on a payment plan?

    If you are on a DOR payment plan, the Automatic Taxpayer Refund (ATR) will be applied to the balance due.  You will receive a letter from DOR with more information. This letter may arrive after you receive your refund.

    You should continue to make your regular payments according to your payment plan agreement.

    If the balance on your payment plan is less than the amount of the ATR, you will receive a check from the Auditor of State for the amount of the ATR minus any balance on your payment plan (or other offsets). Currently, the Auditor of State plans to mail Automatic Taxpayer Refund checks in late summer. This timeline is dependent on supply-chain issues affecting the paper industry and is subject to change.

  • What do I do if I do not receive my Automatic Taxpayer Refund?

    You should allow until Sept. 1 to receive your Automatic Taxpayer Refund. Additional guidance on what to do if you do not receive it will be provided on this website at that time.

To allow us to better serve our customers, please wait until Sept. 1 to contact DOR by phone or INTIME secure message regarding Automatic Taxpayer Refunds.

Latest News

Latest News

Click here to view more events

Top FAQs