IRS Form 8888 Allocation of Refund (Including Savings Bond Purchases)

What Is Form 8888 Used For?

Taxpayers are advised to complete IRS Form 8888 when they need tax organs to divide their tax refunds into two or three accounts at banks and similar financial institutions. Whether you have a regular bank account or you prefer to work with a credit union or mutual fund, it is possible to get a refund the way that is more convenient to you - the IRS will accommodate your preferences as long as they are properly described in writing. It is permitted to use any type of account - for instance, if you would rather save the money, you can ask the government to send the money into your retirement savings account or the account you use to invest in your health or education.

The only important requirement you have to comply with - the account must bear your name so you cannot send the money to your family member or a hired preparer; people that file tax returns with their spouses can use the account with the name of the spouse or the one that contains both of their names.

Additionally, this form gives a taxpayer a chance to request an acquisition of savings bonds - these bonds are issued by the government and let investors earn a fixed interest rate and a variable inflation rate which is a good investment for beginners. Once these amounts are deposited, you can request the remaining portion to be sent via checks. You may not use Tax Form 8888 if you wish to get your refund in its entirety in a single account - if this is your goal, you are entitled to request a traditional refund payment when completing your tax return.

Form 8888 Instructions

Follow these Form 8888 instructions to allocate your refund into numerous accounts:

1. Specify the calendar year you are filing the paperwork for, write down your full name (make sure it matches the one on your tax return), and enter your social security number.

2. Fill out the first section of the form to ask the IRS to send your tax refund into several accounts . You are permitted to identify three accounts - record the routing number, state the account number, and check the box to confirm whether the account in question is a checking one or a savings one. You will need to indicate the portion of the refund you prefer the government to send to every account listed - note that the minimum amount of the refund share is $1. It is recommended to list the account you use more often first - if the IRS delays the processing, it is likely you get the refund sent to the first account you mentioned.

3. Only complete the second part of the document if you are interested in purchasing bonds using your refund . Record the amount tax authorities should use to buy bonds - be careful and write down on the line that applies in your case since one field lets you state the amount of the refund you and your spouse can spend on bonds while the other refers to bonds you can obtain for yourself, your spouse in case you file a joint return, or another taxpayer. There are additional details you must provide to certify the bond acquisition - clarify the portion of the refund that will be used to finance the purchase, write down the name of the owner for the registration of the bond, and identify a beneficiary or co-owner if necessary.

4. If a portion of the refund can be sent to you with a check, you can request it separately by stating the amount you need to get in this manner . Finish the statement by adding all the amounts from the fields above to certify they match the amount of the refund from your tax return.

Where to Mail Form 8888?

Submit Federal Form 8888 attached to your usual tax return - make sure the income statement you send contains information about the refund you are claiming. The mailing address will depend on your current place of residence - for example, check the guidelines you use to complete IRS Form 1040, U.S. Individual Income Tax Return, to look for the relevant address.

You can also file Form 8888 electronically alongside your tax return. E-filing is encouraged - this is the best way to submit paperwork without an error since tax software will assist you when you fill out the documentation, the IRS will get the form quickly and process it safely, and you will obtain your refund within weeks.