WASHINGTON — One in three people say they will use this year's tax refund to pay bills as that nice annual check from Uncle Sam becomes less of a luxury for many people.

Thirty-five percent said they plan to use the money to pay utility, credit card, housing or other bills, an Associated Press-AOL Money & Finance poll showed yesterday. That is up from 27 percent who said so a year ago, in a fresh example of how the ailing economy is affecting many families.

About a third said they are saving or investing the money, down slightly from last year. Nearly a quarter said they are using their refund to pay debt from credit cards and other loans — essentially the same as the one in five who said so last spring.

Among those using their Internal Revenue Service check for necessities is Ricky Martinez, an unemployed construction worker from Waco, Texas. He said his refund was about $600, far smaller than last year's, and he has already used it to pay rent and other bills in advance because of his uncertain job prospects.

"Usually I'm just saving it toward purchasing a house," Martinez, 29, said in a follow-up interview. "Not this year."

That's not to say some people aren't enjoying their checks. One in five is spending it — an increase from last year — on everything from everyday needs to shopping sprees and vacations.

"We're using it to pay off bills and to travel, one of our top priorities," said Daryle Lynn Cornelison, 61, a retired school administrator from Laguna Beach, Calif.

The average tax refund so far this year has been $2,464, up slightly from a year ago, according to the IRS.

Separately, the government will soon begin sending special tax rebates to millions of Americans in hopes they will spend the money and spur economic growth. Those checks will be up to $600 per person and are on top of the refunds.

In the poll, 56 percent said they have received or expect a refund this year, a significant drop from 66 percent a year ago.

There have been no tax law changes that would reduce the number of people getting refunds. Analysts could point to no specific reason for the lowered expectations, other than suggesting it might reflect the general gloom the public feels about anything related to the listless economy.

According to IRS figures, refunds have been sent to 80 percent of those who filed returns through March 29, down from 85 percent of those who filed during the same period last year. David R. Williams, IRS director of electronic tax administration, said in the end the proportion getting refunds this year should be the same as last year.

"A significant number of people who responded to your poll may in fact be pleasantly surprised," he said.

Even so, analysts said if fewer people think they're getting a refund, it might make them less likely to spend money — which would hinder economic recovery.

Fifty-nine percent said they were filing their taxes electronically, up slightly from a year ago, led by taxpayers who are higher-earning and all but the oldest. Those still using mail tended to be older, lower-income and single.

Other poll findings: