Every year in the United States, millions of dollars go unclaimed because people either forget about it or are unaware that the money is theirs. In Arizona, this issue has grown significantly, and the amount of unclaimed tax refunds and property has reached historic levels.
Many Arizona residents could be entitled to refunds or old account balances but don’t even realize it. In some cases, if not claimed in time—especially federal refunds—the money could be lost forever. That’s why it’s important to check and claim your pending funds before it’s too late.
Why Is This Money Left Unclaimed?
Unclaimed money can come from several sources:
- Federal or state tax refunds
- Closed bank accounts
- Uncollected checks
- Unclaimed wages
- Unused service payments
Even though this money legally belongs to the individuals, they often fail to collect it—mostly due to lack of awareness. In some cases, technical issues prevent the refund from being displayed in public search portals, making it even harder to trace.
Arizona’s Record-High Unclaimed Refunds
According to the Arizona Department of Revenue (ADOR), in the last tax year alone, over $88 million in unclaimed funds were returned to rightful owners. This is much higher than the five-year average of $57 million, showing a sharp rise in unclaimed tax-related money.
But that’s not all—an internal audit found an additional $17 million in overpaid taxes still waiting to be claimed. This amount relates to around 46,000 taxpayers who unknowingly paid more than they owed. Unfortunately, due to a technical error, these amounts are not visible on the state’s unclaimed property website, so many people don’t even know the money is theirs.
What Is Being Done About It?
To fix the issue, the ADOR has created a special task force to correct the system failure and speed up the refund process. While there’s no official date for the fix yet, the department is already evaluating short- and long-term solutions.
In the meantime, residents are encouraged to keep checking the Arizona unclaimed property portal or the national unclaimed money search tool.
How to Check if You Have Unclaimed Money
If you live or have worked in Arizona, here’s what you should do:
- Visit the Arizona Unclaimed Property portal or the official national database.
- Enter your full name to see if there’s a match.
- If a match is found, follow the instructions to submit your claim.
- You will be asked to provide identification and proof of your connection to the funds—such as an old utility bill or tax document.
People who have changed addresses, switched jobs, or closed bank accounts in the last few years are most likely to have money waiting for them.
Time Limits for Claims
It’s important to know that federal tax refunds must be claimed within three years from the filing date. If not, the money returns to the U.S. Treasury and cannot be claimed again.
In contrast, Arizona state-held unclaimed property has no expiry date. The money remains in safekeeping until the rightful owner comes forward and files a valid claim.
Arizona Families Tax Rebate: Ongoing Legal Dispute
The topic of refunds has also gained attention due to a recent legal battle between Arizona and the IRS. The dispute involves the Arizona Families Tax Rebate, a special state refund program that the IRS tried to tax.
Arizona’s attorney general has filed a lawsuit against the IRS, and the case is ongoing. Although it doesn’t directly affect regular unclaimed refunds, it shows how important it is to be aware of your tax situation and how refunds are handled at both the state and federal levels.
With millions of dollars still unclaimed, Arizona residents should take a few minutes to check if any of it belongs to them. Whether it’s from an old refund, a forgotten account, or a past job, this money is rightfully yours—and in some cases, you may lose it if you don’t act fast. Check the Arizona state portal and national databases, file your claim, and make sure you don’t miss the chance to recover your money.
