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Refund Delayed? These Tax Credits Might Be the Reason

Tax Refund

As tax season kicked off on January 29, many taxpayers are eagerly awaiting their refunds from the IRS. However, some may experience delays beyond the typical 21-day processing time.

The good news is that you can easily check your refund status online using the “Where’s My Refund” tool (link unavailable) or the IRS2Go app.

Delays can occur for various reasons, including claims for the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC), which require a mid-February wait due to legal requirements.

IRS Plans to Disburse Majority of EITC and ACTC Refunds

The IRS expects to issue most EITC and ACTC refunds by February 27. Additionally, errors in tax returns, incomplete information, or additional review may also cause delays.

New this year, the IRS Direct File pilot service is available in select states, including California, offering a step-by-step online filing process. This service walks taxpayers through preparing their return with a checklist and allows for free online filing directly with the IRS.

The IRS Free File program also provides free tax preparation software and volunteer assistance for eligible taxpayers. With over 128.7 million tax returns expected to be filed by the April 15 deadline (April 17 for Maine and Massachusetts and October 15 for extension filers), the IRS encourages taxpayers to utilize online resources and seek free tax preparation help when needed.

By using these resources, taxpayers can minimize delays and ensure a smooth filing process. So, if you’re waiting for your refund, check the “Where’s My Refund” tool and take advantage of the IRS’s online services to stay informed and get your refund as soon as possible.

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