Tennessee retiree disputes IRS over mistaken $20,000 refund

A 76-year-old Tennessee retiree is facing a multi-year dispute with the Internal Revenue Service over a $20,000 refund he says the agency sent him by mistake in 2022, a situation that has escalated to include interest charges, a withheld tax refund, and threats of property seizure. Wilson Perry Kirby, a retired Montgomery County Highway Department employee and farmer from Coopertown, says he attempted to return the unexpected payment shortly after it arrived on May 10, 2022, but has since been locked in a frustrating bureaucratic battle.

According to Kirby, he worked with his accountant to notify the IRS of the error, but the agency later assessed interest on the refund he had tried to return. The dispute intensified when the IRS withheld his most recent tax refund, which he expected to be about $1,800, applying it toward the disputed balance. He has also received notices stating he owes additional money, with one document reviewed by media demanding $2,575 immediately and warning of potential enforcement action, including a levy against his property. Kirby expressed concern that his approximately $930,000 farm could be at risk.

The emotional strain of the ordeal has been...