Connecticut Sends Checks in Error
The State of Connecticut is sending out letters to taxpayers who e-filed using MEF (Modernized Efile Returns), informing them that checks the taxpayers received may have been sent in error. Two types of taxpayers were affected:
1) Those who had applied 100% of their 2011 overpayment to 2012 estimates
2) Those who applied all or some of their 2011 overpayment to cover penalties and interest accrued on underpayment of estimated tax.
To summarize the problem in basic terms, Connecticut erroneously refunded the overpayments instead of applying them. The refunds were either in the form of a check or a debit card.
Affected taxpayers should receive a letter requesting the taxpayer to check a box in response relating to what they did with the refund. Taxpayers can then send Connecticut a replacement check, the voided refund check if not cashed, or information regarding the debit card (whether the taxpayer cashed it, or not – in which case it can be destroyed).