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A 'Tax' on Your Tax Refund?

Some users of the Virginia Tax Refund Card, which function like debit cards, are reporting unexpected fees.

This marks the first year Virginia is issuing Way2Go cards instead of paper copies of state tax refunds — but the transition isn’t going too smoothly.

Some taxpayers have complained of being unfairly charged for some services related to the cards, which work similarly to debit cards, according to The Richmond Times Dispatch.

Some residents who tried to transfer money from their Way2Go to their bank accounts reported being charged a $2 fee and another $1 per call to customer service.

Card-users are supposed to get one free transfer. The Virginia Department of Taxation is working to fix the problem, according to the Times Dispatch. Representatives said that both the website and phone systems would be fixed by next week.

Virginia taxpayers were given the option to receive their tax refunds via direct deposit or on a Way2Go card, Patch reported earlier this year.

But the card comes with a list of fees that can be charged to the card for certain transactions such as cash withdrawals from ATMs or calling the Go Program® with questions using the phone (if more than two calls per month). A $3 fee will be charged to the card after six months of inactivity once activated.

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