A refund trace is a crucial service provided by the IRS to help taxpayers locate missing refunds when the expected payment doesn’t arrive as anticipated. Whether your refund was sent via paper check or direct deposit, a refund trace initiates an official investigation into what happened to your money, offering a path to recovering it.

How a Refund Trace Works

Before requesting a refund trace, you should verify your refund status using the IRS “Where’s My Refund?” tool, available at https://www.irs.gov/wheres-my-refund. This tool provides the most up-to-date information about whether your return has been processed and if the refund has been issued.

If “Where’s My Refund?” indicates that your refund was sent but it hasn’t arrived within 28 days for mailed checks or shortly after the expected date for direct deposits, then you should consider initiating a refund trace.

You can start a refund trace by calling the IRS or submitting Form 3911, Taxpayer Statement Regarding Refund. Form 3911 can be filled out to formally request an investigation into your missing refund.

Once initiated, the IRS takes several steps:

  1. Stop Payment on Original Check: If your refund was sent as a check, the IRS will prevent the check from being cashed again.
  2. Track the Payment: The IRS checks whether the check was cashed, returned, or lost in transit. For direct deposits, they verify bank details to ensure funds didn’t bounce back.
  3. Resolution: Depending on findings, the IRS either issues a replacement refund, provides evidence if the check was cashed (including a copy of the cashed check), or resolves direct deposit errors.

Common Situations That Require a Refund Trace

  • Lost Mail: Refund checks sometimes get lost or stolen after mailing.
  • Bank Deposit Issues: Incorrect bank information can result in funds not reaching your account.
  • Fraudulent Cashing: A stolen check may be cashed by someone else, requiring documentation and an affidavit to reclaim your refund.

Who Should Request a Refund Trace?

  • Individuals expecting a federal tax refund who have not received it after checking online.
  • Taxpayers suspecting their refund check was stolen or lost.
  • Estate executors handling refunds for deceased taxpayers.

Tips to Avoid Refund Issues

  • Opt for direct deposit as it’s faster and reduces theft risk.
  • Carefully review bank routing and account numbers on your tax return.
  • Promptly update your address with the IRS to avoid misdirected mail.
  • Regularly check your refund status with the IRS online tool.
  • Maintain records of your filing and IRS correspondence.

FAQs About Refund Traces

How long does the process take? Depending on the case, it may take from 6 weeks up to several months for resolution.

Is there a fee? No, the IRS does not charge for conducting a refund trace.

Can a tax preparer initiate the trace? Generally, the taxpayer must initiate the process and provide signatures, though tax professionals can assist.

What if my refund check was cashed fraudulently? The IRS will send a copy of the cashed check. You must file an affidavit stating the theft to receive a replacement.

Related Information

For more on handling returned refund checks, visit CP31 Notice: Refund Check Returned.

Reliable Sources

  • Internal Revenue Service, “Where’s My Refund?”, https://www.irs.gov/wheres-my-refund (Accessed June 2025)
  • Internal Revenue Service, “What to Do if You Haven’t Received Your Tax Refund”, https://www.irs.gov/individuals/get-transcript (Check for latest guidance on refund traces and Form 3911)
  • U.S. Department of the Treasury, https://www.treasury.gov/

Using these steps and resources can help you navigate the refund trace process smoothly, ensuring you recover your tax refund even if complications arise.