8% Annual Return with No Risk

Yesterday, PFBlog explained a nifty trick for making a risk-free investment with the US government and receiving a return of 8% from the Internal Revenue Service. How’s it work, you ask? In a nutshell:

You make a large estimated tax payment for 2007 in March 2008.
When you file your 2007 return in April, you request your big tax refund.
Don’t cash your check from the IRS, ever. Destroy it.
Wait as long as you’d like and then file a for 3911 with the IRS to request a replacement check.
Your new check will include will include your accrued interst of 8%.

Will this work? Does anyone really want the IRS holding onto their money any longer than they have to?
Photo by Stillframe.

Original post by Dane and software by Elliott Back

This entry was posted on Thursday, November 29th, 2007 at 6:58 am and is filed under Government, Money. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

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