--- title: Millions May Be Eligible for a COVID Tax Refund — but the Deadline Is Friday description: Millions may qualify for IRS refunds on COVID-era tax penalties and interest — but a deadline looms. authors: - name: Andrea Agostini Ferrer role: Lead Staff Writer url: https://money.com/author/andrea-agostini/ bio: Andrea has been writing for Money Group since 2020. Her articles, which have been featured across a wide variety of publications, have helped our readers navigate multiple areas of personal finance including credit, loans and insurance. She's currently part of our team of insurance experts, specializing in travel and pet insurance. education: University of Puerto Rico at_money_since: 2020 articles: 62 covers: - Taxes - Banking - Business - Credit - Credit Cards - Debt - Economy and Politics - Education - Health and Wellness - Housing - Identity Theft - Insurance - Lifestyle - Loans - Mortgages - Personal Finance - Pets - Professional Services - Retirement - Shopping editors: - name: Katherine Peach role: Associate Editor url: https://money.com/author/katherine-peach/ bio: Katherine Peach is an associate editor with a focus on news and email at Money. She didn’t always intend to write about money. She’s a classically trained pianist who dreamed of becoming an archaeologist. However, in 2007 Katherine began working in financial publishing as an editor for Agora Inc. (Apparently, unearthing ideas about improving your personal finances isn’t such a bad career alternative!) Katherine’s writing and editing work has been featured in Investing Daily, Clever, Investor Junkie, The Palm Beach Letter, Truth & Plenty, Independence Monthly, NICHE, AmericanStyle, AntiqueWeek, Millennial Money, Money Done Right, TheStreet, Sure Dividend and many others. Katherine holds a Bachelor of Arts in Ancient Studies with concentrations in Archaeology and Ancient Languages and a minor in Literature from the University of Maryland, Baltimore County. She is a member of Phi Beta Kappa. education: University of Maryland, Baltimore County at_money_since: 2025 articles: 14 covers: - Taxes - Banking - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Education - Federal Reserve Rate Cuts - Health and Wellness - Housing - Identity Theft - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Professional Services - Retirement - Shopping updaters: - name: Liliana Hall role: Reporter url: https://money.com/author/liliana-hall/ bio: Liliana Hall joined Money in 2025. She is an Austin-based reporter for Money, where she covers a range of topics, including financial news, policy, banking, investing, passive income, financial planning and student loan debt. education: University of Texas at Austin at_money_since: 2025 articles: 134 covers: - Taxes - Banking - Business - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Education - Health and Wellness - Housing - Insurance - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Pets - Retirement - Shopping social: - https://x.com/lilihallllllll - https://www.linkedin.com/in/liliana-hall/ published: '2026-07-06T19:43:28.000Z' modified: '2026-07-06T19:43:28.000Z' section: Taxes tags: - News - Taxes word_count: 1090 canonical: https://money.com/irs-covid-tax-refund/ type: NewsArticle source: structured-blocks --- > **Disclosure:** We research all brands listed and may earn a fee from our partners. Research and financial considerations may influence how brands are displayed. Not all brands are included. [Learn more](https://money.com/page/disclaimer/). ![Photo-illustration of a couple looking at mail together](https://img.money.com/2026/05/News-Covid-IRS-Refund.jpg) If you paid penalties or interest on your taxes during COVID-19, you may still be able to get some of that money back — but you need to act before Friday. A landmark court decision, [Kwong v. United States](https://www.govinfo.gov/content/pkg/USCOURTS-cofc-1_23-cv-00267/pdf/USCOURTS-cofc-1_23-cv-00267-0.pdf), held that the IRS wrongly charged penalties and interest during the COVID-19 federal disaster period, which was officially declared on Jan. 20, 2020, and ended on May 11, 2023. The plaintiff, Terry Kwong, sued for a refund of penalties he paid for tax years 2007, 2010, 2011, 2015, and 2016. He argued that he shouldn't have paid them because he was entitled to an extension under COVID-19 relief legislation and an [existing tax rule](https://www.irs.gov/pub/irs-drop/rp-01-53.pdf) that suspends or postpones deadlines for taxpayers affected by a federally declared disaster. The court ruled in his favor, noting that, even though a three-year-long disaster declaration was unprecedented, the tax code's language was "unambiguous" and the IRS should have extended the deadlines from 2020 to July 10, 2023 (60 days after May 11, 2023, when the federal disaster period was declared over). ## Who qualifies for a refund? As Erin M. Collins from the [National Taxpayer Advocate](https://www.taxpayeradvocate.irs.gov/), an independent organization within the IRS, [wrote](https://www.taxpayeradvocate.irs.gov/news/nta-blog/protect-your-potential-covid-19-disaster-relief-refunds-by-filing-formal-or-protective-claims-for-refund-part-iii/2026/05/) in May, tens of millions of taxpayers were assessed for penalties or interest for filing or paying late during the COVID-19 disaster period, from individuals and small businesses to corporations, estates and trusts. If the Kwong v. United States ruling stands (the government will likely file an appeal), taxpayers will be eligible for a refund if they paid a penalty or interest for: - Filing a tax return late - Failing to pay taxes on time - Failing to make estimated tax payments - Overpaying interest on taxes they owed between 2020 and 2023 ## How to find out if you paid IRS penalties or interest Not sure whether this applies to you? Many taxpayers probably don't remember whether they paid penalties or interest several years back. The easiest way to find that information is by going through those years' tax files and reviewing whether you paid or were liable for any penalties or interest. You can find that information by logging into your [online IRS Account](https://sa.www4.irs.gov/sso/?resumePath=%2Fas%2FNke5YzRZxg%2Fresume%2Fas%2Fauthorization.ping&allowInteraction=true&reauth=false&connectionId=SADIPACLIENT&REF=3CA8B25846FC05B834E93BD10131E8A7E5F85C202DA3C69EC4FA000000D6&vnd_pi_requested_resource=https%3A%2F%2Fsa.www4.irs.gov%2Fola%2Ftax_records%2Ftranscripts&vnd_pi_application_name=OLA&redirect_uri=https%3A%2F%2Fsa.www4.irs.gov%2Fpa%2Foidc%2Fcb&state=eyJ6aXAiOiJERUYiLCJhbGciOiJkaXIiLCJlbmMiOiJBMTI4Q0JDLUhTMjU2Iiwia2lkIjoiQk9yU1docXJBN0EtRWZWSlhRZmlGcGJLRnhVIiwic3VmZml4IjoiN0JxcXFELjE3ODMzNTgzODgifQ..I-GfoGUq0H40-U2_0cdbsQ.wNKKzV6yOJiMW-JDUnb1DlnU1EnM_p0ENuuKIoQ2xDASaYKJ4R7fTJ0JeStFYSGaFVSbQF9nrBlFr2pxQVGvoSm5vCIxx-Feov5ZIuT6aKH9FueZ8luSJZAW97uW0PpWFAVF88yI6OE2bf9IEBcMOpltuJSy8DA-SowatY_JtUU.XnkI_T8YVP8PXEzybO-vJw). From there, select "View Transcripts" for the tax years in question. Review your transcript for line items showing failure-to-file or failure-to-pay penalties, or interest charges. If you don't have an online IRS account, you can request your [transcripts via mail](https://www.irs.gov/individuals/get-transcript) by filling out [this online form](https://sa.www4.irs.gov/oat/) or calling 800-908-9946. ## I'm eligible. How do I claim a refund before July 10? Unlike many IRS refunds, these payments won't be issued automatically. If the ruling holds up, the refunds won't be issued automatically. To request a refund, you'll need to mail a special [Form 843](https://www.irs.gov/pub/irs-pdf/f843.pdf) by Friday, July 10, 2026, to the IRS service center where you would've filed the tax return you're contesting. Collins also recommended that you send the claim by certified mail — if it gets delayed or [buried in the IRS's backlog](https://money.com/irs-paper-backlog-tax-refund-delays/), you'll have evidence that you filed in time. You'll need to file Form 843 for each tax period you're claiming a refund for. For example, if you paid interest or late penalties for the 2019 and 2022 tax years, you'll need to file a separate form for each year. Why July 10, 2026? Because that date marks three years from the new tax deadline determined in Kwong v. United States. According to IRS rules, taxpayers must claim a refund or abatement (a reduction on what you owe and haven't paid yet) within three years from the date they filed their tax return, or two years from the date they paid the tax. The Kwong ruling changed the deadline on the taxes and payments you owed from the COVID-19 disaster period to July 10, 2023. This revision also shifted the three-year window to claim a refund to July 10, 2026. ## What type of refund claim should I file? There are two types of refund claims you can file with the IRS: a formal refund claim or a protective refund claim. You can file a formal refund claim when you know how much you're owed. This type of claim has an expiration date; the IRS has to respond within six months, and if the agency refuses the refund, you have two years to sue for it. Once two years elapse, the IRS is barred from paying, no matter if your claim is valid or not. On the other hand, a protective refund claim is typically filed when you don't know how much you're entitled to because the issue is still wrapped up in litigation — in this case, the Kwong case — and the IRS can't act on it until the legal process is resolved. According to Collins, this is the type of form that you should file for a "COVID refund." On the National Taxpayer Advocate [blog](https://www.taxpayeradvocate.irs.gov/news/nta-blog/protect-your-potential-covid-19-disaster-relief-refunds-by-filing-formal-or-protective-claims-for-refund-part-iii/2026/05/), she explained that a protective refund claim preserves the taxpayer's refund rights while litigation continues. Because the case is still being litigated, this extra step protects your claim from expiring while the law makes its way through the courts — a process that may take years. Collins recommended signing and filing Form 843 and writing “Protective Refund Claim Pursuant to Kwong Case” — or something to that effect — across the top. You don't need to calculate what you're owed for the form to be valid, but the form can't be vague. It must include why you're filing the claim, the tax year(s) you're contesting and what legal issue affects your claim (the Kwong case), as well as your personal information and taxpayer identification number (TIN). For most individuals, this is their Social Security number. ## Don't expect a refund anytime soon “I anticipate the Department of Justice will appeal the decision,” wrote Collins in [part 1 of a series of blog posts](https://www.taxpayeradvocate.irs.gov/news/nta-blog/tens-of-millions-of-taxpayers-may-be-eligible-for-significant-tax-refunds/2026/04/). “It may take several years until the issue is finally resolved by the courts." In other words, don't count on getting that money anytime soon. Even if the IRS wasn't already struggling with [staffing shortages and backlogs](https://money.com/tax-refund-delays-2026/), it may take years before you see a check. Still, if you believe you're eligible, it's paramount that you claim the money before this week's July 10 deadline. Whether the ruling holds up or not is up to the courts, and if it does, you don't want to miss out on your slice of the pie. "A timely claim is more important than a perfect one," Collins noted. "Claims may be supplemented with additional details, but a missed deadline cannot be corrected." ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/irs-covid-tax-refund/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Taxes", "item": "https://money.com/taxes/" }, { "@type": "ListItem", "position": 3, "name": "Tax Refund", "item": "https://money.com/tax-refund/" }, { "@type": "ListItem", "position": 4, "name": "Millions May Be Eligible for a COVID Tax Refund — but the Deadline Is Friday" } ] }, { "@type": "WebSite", "@id": "https://money.com/#website", "url": "https://money.com", "name": "Money", "publisher": { "@id": "https://money.com/#organization" } }, { "@type": "WebPage", "@id": "https://money.com/irs-covid-tax-refund/#webpage", "url": "https://money.com/irs-covid-tax-refund/", "name": "Millions May Be Eligible for a COVID Tax Refund — but the Deadline Is Friday", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2026-07-06T19:43:28.000Z", "mainEntity": { "@id": "https://money.com/irs-covid-tax-refund/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/irs-covid-tax-refund/#breadcrumb" }, "dateModified": "2026-07-06T19:43:28.000Z" }, { "@type": "NewsArticle", "headline": "Millions May Be Eligible for a COVID Tax Refund — but the Deadline Is Friday", "articleSection": "Taxes", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2026/05/News-Covid-IRS-Refund.jpg", "width": 2880, "height": 1920, "caption": "News-Covid-IRS-Refund" } ], "author": [ { "@type": "Person", "name": "Andrea Agostini Ferrer", "url": "https://money.com/author/andrea-agostini/", "@id": "https://money.com/author/andrea-agostini/#author", "description": "Andrea has been writing for Money Group since 2020. Her articles, which have been featured across a wide variety of publications, have helped our readers navigate multiple areas of personal finance including credit, loans and insurance. She's currently part of our team of insurance experts, specializing in travel and pet insurance.", "image": "https://img.money.com/2020/12/Andrea-Agnosti.png?w=226&h=247&crop=1", "email": "andrea@money.com", "jobTitle": "Lead Staff Writer", "alumniOf": "University of Puerto Rico", "worksFor": { "@id": "https://money.com/#organization" } } ], "publisher": "https://money.com/#organization", "datePublished": "2026-07-06T19:43:28.000Z", "description": "Millions may qualify for IRS refunds on COVID-era tax penalties and interest — but a deadline looms.", "abstract": "Millions may qualify for IRS refunds on COVID-era tax penalties and interest — but a deadline looms.", "@id": "https://money.com/irs-covid-tax-refund/", "inLanguage": "en-US", "dateModified": "2026-07-06T19:43:28.000Z", "editor": [ { "@type": "Person", "name": "Katherine Peach", "url": "https://money.com/author/katherine-peach/", "@id": "https://money.com/author/katherine-peach/#author", "description": "Katherine Peach is an associate editor with a focus on news and email at Money. She didn’t always intend to write about money. She’s a classically trained pianist who dreamed of becoming an archaeologist. However, in 2007 Katherine began working in financial publishing as an editor for Agora Inc. (Apparently, unearthing ideas about improving your personal finances isn’t such a bad career alternative!)\r\n\r\nKatherine’s writing and editing work has been featured in Investing Daily, Clever, Investor Junkie, The Palm Beach Letter, Truth & Plenty, Independence Monthly, NICHE, AmericanStyle, AntiqueWeek, Millennial Money, Money Done Right, TheStreet, Sure Dividend and many others.\r\n\r\nKatherine holds a Bachelor of Arts in Ancient Studies with concentrations in Archaeology and Ancient Languages and a minor in Literature from the University of Maryland, Baltimore County. She is a member of Phi Beta Kappa.", "jobTitle": "Associate Editor", "alumniOf": "University of Maryland, Baltimore County", "worksFor": { "@id": "https://money.com/#organization" } } ], "contributor": [ { "@type": "Person", "name": "Liliana Hall", "url": "https://money.com/author/liliana-hall/", "@id": "https://money.com/author/liliana-hall/#author", "description": "Liliana Hall joined Money in 2025. She is an Austin-based reporter for Money, where she covers a range of topics, including financial news, policy, banking, investing, passive income, financial planning and student loan debt.", "image": "https://img.money.com/2025/03/Hall_headshot.jpg?quality=85&w=640&h=640&crop=1", "email": "liliana.hall@money.com", "jobTitle": "Reporter", "alumniOf": "University of Texas at Austin", "sameAs": [ "https://x.com/lilihallllllll", "https://www.linkedin.com/in/liliana-hall/" ], "worksFor": { "@id": "https://money.com/#organization" } } ], "wordCount": 1090, "keywords": [ "News", "Taxes" ], "about": [ { "@type": "Thing", "name": "Tax", "sameAs": [ "https://en.wikipedia.org/wiki/Tax" ] }, { "@type": "Thing", "name": "Tax refund", "sameAs": [ "https://en.wikipedia.org/wiki/Tax_refund" ] } ] } ] } ```