Tax Refunds after Date of Death

Answered by:

Question:

We recently learned that our customer died. We’ve returned the SSA payments that have posted to the account. Do we return the Tax Refund too?

Answer:

Tax refunds are not a benefit payment and are not subject to reclamation. If there are no other issues with the tax refund, the bank does not have to return it.
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Learn more about Rayleen Pirnie webinar
Advanced ACH: Death Notification Entries and Reclamations: A Banks Responsibilities