Question

Suppose I want use my state tax refund to pay my federal tax debt. Can I file state return now and file my federal return in April?

Answer

Yes. You can file your state and federal tax returns at any point before the filing deadline and use the refund money from the state refund to pay the tax liability on your federal return.

However, you might want to e-file both returns now. Then, submit your federal return with the e-file payment voucher by May 17, 2021. This will allow enough time for your state return refund to arrive to cover any federal balance due.

You must pay the balance due on your federal return by the filing deadline to avoid penalties and interest.

Related Topics

Related Resources

Levy Release

Get the facts from H&R Block about an IRS levy release, which stops collection of back taxes from your wages, bank accounts, or other income sources.

IRS Correspondence Examination

Need help with an IRS correspondence examination (commonly called a mail audit)? Read the IRS definition and get more insight from experts at H&R Block.

Delinquent Tax Return

Learn about IRS delinquent tax returns and how to fix the issue. Read the IRS definition and get more insight from the experts at H&R Block.

Pay Nothing to File Your Form 1040EZ with “Free EZ”

For a limited time, qualifying taxpayers can pay nothing to file a 1040ez with a tax pro at H&R Block. Find out if you qualify and how you can pay nothing!