Tax season is here, and for many, that means wondering when they’ll see their tax refund. According to the IRS, they expect around 140 million people to file their returns by the deadline on April 15, and they’re making it easier for taxpayers to track their refunds this year with a new online tool.
While things are looking up for most taxpayers, there’s a bit of a wrinkle in the IRS’s staffing this year. Recently, former President Donald Trump offered buyouts to federal employees, which could affect staffing at the IRS during one of their busiest seasons. At the moment, no one’s sure exactly how this will impact the agency’s operations. But, as always, it’s best to keep a close eye on things just in case any delays crop up.
So, you’re probably asking, when will I get my refund? Well, here’s the deal:
When Will My Tax Refund Arrive?
If you’re filing your tax return electronically, the IRS says it should take about 21 days or less to get your refund. That’s great news for people who e-file and choose direct deposit, as that could speed things up even more. But, and here’s the kicker, if you file a paper return, things might take a lot longer—up to 4 weeks or more. And if your return needs any amendments or corrections, be prepared to wait even longer. The IRS is working hard to process returns as quickly as possible, but sometimes things get slowed down by mistakes or missing info.
A quick reminder: Don’t rely on a specific date to receive your refund, especially if you’re planning on making any big purchases or paying bills. The IRS strongly recommends that you don’t schedule major expenses based on your expected refund date because things could be delayed, and you wouldn’t want to be caught off guard.
How Can I Track My Refund?
Wondering how to check on your refund? Good news: The IRS has made it simple with their “Where’s My Refund?” tool, which you can use to check the status of your refund. This tool is updated once a day overnight, so don’t expect real-time updates.
Here’s what you need to have ready to track your refund:
- Your Social Security Number (or ITIN)
- Your filing status
- The refund amount you expect from your tax return
Once you’ve entered that info, you’ll be able to see where your refund is in the process—whether it’s been received, approved, or sent out.
How Do Tax Refunds Work?
For most folks, a refund means they’ve overpaid on their taxes during the year. This could happen because of too much tax withholding from your paycheck, or because you qualify for refundable credits like the Earned Income Tax Credit (EITC) or Child Tax Credit. Either way, if you paid too much, you’ll get that money back when you file your taxes.
Remember, you have three years to claim a refund if you didn’t get one in a previous year. But the key is that you have to file your tax return to get it. No filing, no refund.
Do I Qualify for the Earned Income Tax Credit (EITC)?
The Earned Income Tax Credit (EITC) is a big one for low to moderate-income earners, and it can really boost your refund. To qualify for the EITC, you must:
- Have less than $11,600 in investment income
- Earn below a certain income level, which varies depending on your filing status and number of dependents.
For example, if you’re single with no kids, you need to earn $18,591 or less. But if you’re married filing jointly with three or more kids, your household income can’t exceed $66,819.
Not sure if you qualify? You can use the IRS’s EITC Assistant Tool online to figure it out. It’s a handy tool that walks you through the eligibility criteria based on your specific situation.
What About the Child Tax Credit?
If you have kids, you’ve probably heard about the Child Tax Credit. This year, you can get up to $2,000 for each qualifying child. To qualify, the child must meet a few requirements:
- Have a Social Security number
- Be under the age of 17 at the end of the year
- Be claimed as a dependent on your tax return
If your income is below $200,000 ($400,000 for joint filers), you’ll get the full credit for each child who qualifies. But if you make more than that, the credit starts to phase out.
What’s New This Year?
There’s some good news for taxpayers who are filing their taxes directly with the IRS. The IRS has expanded its Direct File program this year, which allows people to file their taxes for free without using commercial tax prep software. This program was available in only 12 states last year, but now it’s available in 25 states. So if you have a simple tax return, like just a W-2, you can file directly with the IRS without any extra cost.
In 2024, taxpayers using the pilot program claimed over $90 million in refunds. So, if you’re one of those who qualifies for this free filing option, it could save you a lot of money on tax preparation fees.
Tax season may feel a bit stressful, but with the new tools and expanded programs available, the process is getting easier every year. Just remember to file on time, track your refund, and make sure all the information you provide is accurate to avoid unnecessary delays.
Got questions about tax refunds? Don’t hesitate to check out the IRS website or contact a tax professional to make sure everything’s in order. And remember—tax season may be a little nerve-wracking, but with the right info, you’ll get through it just fine.
