What’s Taking So Long? If you don’t receive your refund in 21 days, your tax return might need further review. This may happen if your return was incomplete or incorrect. You may also experience delays if you claimed the Earned Income Tax Credit or the Additional Child Tax Credit.
- In normal years, most tax refunds filed electronically are issued within 21 days. But there may still be delays for reasons including: You are claiming the earned income tax credit (EITC) or additional child tax credit.
Why are tax refunds taking so long?
Some tax returns take longer to process than others for many reasons, including when a return: Includes errors, such as incorrect Recovery Rebate Credit. Includes a claim filed for an Earned Income Tax Credit or an Additional Child Tax Credit.
Are 2021 tax refunds delayed?
That means 2021 tax refunds are likely to be delayed; usually electronic refunds come three weeks after filing, a week faster than ones for paper returns. Based on last year’s experience, getting answers from the IRS will be even harder than usual, too. 22
Are IRS refunds delayed 2020?
If a taxpayer files a return on April 15 in Year 1, the IRS generally may issue a refund until April 15 in Year 4. In 2020, the IRS postponed the filing deadline for tax year 2019 tax returns from April 15 to July 15 due to the COVID-19 pandemic.
Why is my tax return still being processed after 21 days?
The IRS will issue most refunds in less than 21 calendar days. This could mean that all of the necessary forms were not sent to the IRS for processing. Your return has been flagged for identity theft or fraud.
Is it taking longer for tax refunds this year?
COVID-19 Processing Delays It’s taking us longer than normal to process mailed correspondence and more than 21 days to issue refunds for certain mailed and e-filed 2020 tax returns that require review. Thank you for your patience. The IRS issues more than 9 out of 10 refunds in less than 21 days.
How long can the IRS hold your refund for review?
The IRS can go back through three years’ worth of returns or review up to six years if they find a serious error.
Why have I still not received my tax refund?
If you haven’t received your tax refund after at least 21 days of filing online or six weeks of mailing your paper return, go to a local IRS office or call the federal agency (check out our list of IRS phone numbers that could get you help faster).
Why is my tax return still being processed 2020?
He said the IRS is still processing $9.8 million tax returns from 2020. The delays are mostly due to errors in filing, some having to do with the economic stimulus payments. 5
When can I expect my 2021 tax refund?
When can I expect my refund? If you file electronically and choose direct deposit, the IRS says you can expect it within 21 days, assuming there are no problems with your return. 18
Can I sue the IRS for holding my refund?
Generally, if you fully paid the tax and the IRS denies your tax refund claim, or if the IRS takes no action on the claim within six months, then you may file a refund suit. You can file a suit in a United States District Court or the United States Court of Federal Claims.
Is the IRS shut down?
We’re open and processing mail, tax returns, payments, refunds and correspondence. However, COVID-19 continues to cause delays in some of our services.
How long does your refund stay in processing?
When to expect your IRS refund About 90% of electronically filed tax returns are processed within 21 days. Paper returns are processed six to eight weeks after they arrive at the IRS. If you electronically file and provide bank account information to the IRS for direct deposit, you’ll see your refund the quickest.
What happens if I don’t get my refund in 21 days?
If you don’t receive your refund in 21 days, your tax return might need further review. This may happen if your return was incomplete or incorrect. The IRS may send you instructions through the mail if it needs additional information in order to process your return.
Can I chat with IRS online?
Chat with the Website Help Desk for help navigating the IRS site. Online agents can answer questions regarding where to find forms or other information on the site, but not questions regarding your tax return or refund. Hours are 10:00 a.m. to 8:00 p.m. Eastern Time, Monday through Friday.
Why is my refund taking over a month?
Your refund may be delayed if you made math errors or if you forgot to sign your return or include your Social Security number. It may also be delayed if your dependents’ information doesn’t match IRS records, or if you left out a corresponding schedule or form to support a deduction or credit, says Pickering.
Tax Refund Delay: What to Do and Who to Contact
It is possible that your tax refund will be delayed for a variety of reasons. It’s possible that your figures and those of your employer didn’t match. Alternatively, you may have mistakenly missed a line—or perhaps an entire form. Alternatively, it’s possible that you submitted a credit claim that the IRS is taking longer to review. This year, on the other hand, the most likely explanation for a delayed tax refund is that you filed a paper tax return instead. As a result of the COVID-19 outbreak, there was a further backlog of tax returns to deal with.
Of course, the reasons for a delayed tax refund that existed before to the coronavirus epidemic may still be relevant today.
Take the time to develop a complete financial strategy that goes beyond taxes and other financial obligations.
How Long It Takes the IRS to Process a Tax Refund
Several factors might contribute to the delay in your tax refund. Your figures may not have matched up with those of your company. Alternatively, you may have inadvertently missed a line—or perhaps an entire form—by accident. In some cases, the IRS may take longer to process a credit claim than expected. For the first time this year, however, the most likely cause for a delayed tax refund is if you submitted a paper tax return. As a result of the COVID-19 epidemic, there was an extra backlog of tax returns.
Although the grounds for a delayed tax refund that existed before the coronavirus outbreak may still be relevant, For more information, including other explanations and suggestions for avoiding future delays, continue reading this blog entry.
Discover the services of a financial adviser in your area now!
How Can I Track My IRS Refund?
If you are still anticipating a tax return, you may use the IRS Where’s My Refund service to check on the status of your 2021 income tax refund. Taxpayers will be required to provide personal information such as their Social Security number or Individual Taxpayer Identification Number, as well as the status of their tax return and the amount of money they anticipate to receive as a refund. Taxpayers can also check on the status of their refunds using the IRS2Go smartphone application. You will also be able to make tax payments and receive free tax assistance using the app (as long as you qualify).
The IRS TREAS 449 indicates that your refund has been lowered in order to settle a tax liability with the government.
If a taxpayer fails to submit any needed forms or schedules, he or she may be compelled to file an amended return.
Reasons for a Tax Refund Delay
There is no one cause for a tax refund to be held up by the Internal Revenue Service. On the contrary, there are a variety of distinct conditions that might influence how long it takes you to get your refund from Uncle Sam. As an example, you may have made a mistake on your tax return, input the incorrect bank account information for the refund, filed your return too soon, or any number of other reasons. We’ve included numerous typical reasons why your tax return can be delayed in the section below.
You Claim Certain Credits
If you submit your tax return early and claim the earned income tax credit (EITC) or the extra child tax credit (ACTC), you will have to wait a little longer for your refund to be processed. According to the legislation, the Internal Revenue Service (IRS) must wait until February 15 before issuing refunds to individuals who claimed either of the two credits. President’s Day, as well as bank processing periods, might cause your refund to be delayed even longer. If the hold is placed on your application because you filed before the middle of February, there is no need to be concerned.
Alternatively, if you filed later than that, the IRS may have issues or request further information, in which case you should get a letter outlining what it required in order to proceed.
feature (available on the IRS website).
Filing Early or Late
Early filers may have to wait a long time for refunds to be processed. One explanation for this might be that the IRS is still in the midst of implementing adjustments to its procedures. Updated security measures or procedure improvements owing to changes in the tax code are examples of what may be included. If the IRS has to update or make modifications, it will most likely not do so until right before tax season. If you submit your taxes early in the tax season, your refund may be delayed as a result of the high volume of requests received by the IRS at this time.
The vast majority of taxpayers either file as soon as they are able or wait until the last minute before the tax day deadline to do so.
New Security Measures
In today’s society, identity theft is a serious threat to people’s safety. The Internal Revenue Service maintains stringent security measures in order to fight the danger. Some security precautions will force the Internal Revenue Service to lengthen the time it takes to process tax returns (and refunds). If the Internal Revenue Service thinks that someone has attempted to steal your identity (by submitting a false tax return), your return may be delayed. You would then have to wait until the IRS has completed its investigation and has determined that you are who you claim to be before filing your tax return.
This will cause a delay in the processing of your refund, but it is only a security measure.
Because of the additional security measures, several state governments have also said that they will take longer to process tax returns in the future.
For example, typically, Alabama has not begun giving refunds until the first week of March. The Internal Revenue Service begins providing refunds in February. If you’re looking for information on where your state return is, check out this post on where your state refund is.
You Filed a Paper Return
As previously stated, the Internal Revenue Service often takes longer to process paper returns than it does to process electronically submitted taxes. That means you will have to wait longer for your return—and considerably longer if you want your refund in the form of a check. If you file a paper return by certified mail, the Internal Revenue Service will take longer to complete your return and issue a refund. Speaking of paper returns, you will need to file any amended returns (1040X) as a paper return in order to be eligible for an extension.
Even if you file electronically, if you want to get your refund in the form of a physical check, you will have to wait a little longer.
As would cause your refund to be delayed in the same way that sending a refund to the incorrect bank account would cause it to be delayed.
Mistakes on Your Return
If you file an incomplete return, or if you make any mistakes on your tax return, the Internal Revenue Service will take longer to process your refund. Any possible reimbursement will be delayed as a result of this. Mistakes might include erroneous mathematical calculations or inaccurate personal data entry. With the help of a tax filing service, such as TurboTax, you can reduce the likelihood of mathematical mistakes on your tax return. The program will take care of the calculations for you.
- Consider the following scenario: you manually entered the information from your W-2.
- If there are any problems with your tax return, the IRS will notify you immediately.
- You may be able to avoid the hassle of having to file an updated return as a result of this.
- Consider the following scenario: you are filing a joint tax return with your spouse and you enter his or her Social Security number wrongly (SSN).
Incorrect Bank Info
The vast majority of taxpayers now get their refunds via direct deposit into their bank accounts. You should always double-check your account number and bank routing number after providing them. It is no one’s intention to lose out on a refund because it was sent to the incorrect bank account. If you made a mistake when entering your account information, there are a few options available. If you haven’t received your return from the IRS yet, you can request that they suspend the direct transfer.
- and 7 p.m.
- Alternatively, if the IRS has already delivered the payment, you will need to contact the banking institution to make arrangements.
- The Internal Revenue Service will subsequently give you a printed check for your refund.
- With Form 3911, you authorize the Internal Revenue Service to contact the financial institution on your behalf and seek to collect your refund.
- After the first trace is completed, banks have 90 days to reply to the Internal Revenue Service’s request for information.
A bank, on the other hand, is not compelled to give information to the Internal Revenue Service. Your final option, if the bank does not reply, is to file a civil lawsuit against the financial institution and/or the owner of the account into which your return was placed.
You Have Outstanding Debt
The Internal Revenue Service (IRS) has the right to garnish your tax return if you owe certain types of obligations. Withholding your wages in order to use them for anything else is known as wage garnishment. The IRS will garnish your return for a variety of reasons, some of which are as follows:
- You owe money to the government for overdue taxes. It is possible that you have defaulted on a federal student loan. You owe money to the government for child support
- You and your spouse filed a joint tax return, and your spouse owes money.
Taxes are past due, and you owe money. A federal student loan that you owed was defaulted on by you. You owe money to your ex-spouse for child maintenance; It is true that you and your spouse filed a joint tax return, but your spouse still owes money.
There are a variety of reasons why you could be experiencing a delay in receiving your tax return. Some of the explanations will not necessitate any more effort on your behalf. This is the case if you have claimed specific credits or if you have filed your tax return at specific periods. Filing a paper return and obtaining your refund in the form of a paper check will both drag down the process. Another explanation for the delay might be because you made a clerical error or missing information.
It is your responsibility to locate the money if you requested a direct deposit but gave inaccurate bank information to the financial institution.
Tips for Making the Most of Your Refund
- Finding a quality financial advisor does not have to be a difficult endeavor. Your financial adviser links you with up to three other financial advisors in your region using SmartAsset’s free service, and you may interview your advisor matches at no cost to determine which one is the best fit for you. If you’re ready to locate a financial adviser who can assist you in achieving your financial objectives, get started right away. If you do not have any immediate bills to pay off, you may opt to deposit your refund directly into your bank account. Alternatively, you may hunt for a high-interest savings account. You may put your return toward retirement by obtaining the maximum interest rate available. Even if it doesn’t seem particularly enjoyable, it’s critical to guarantee that you can spend your golden years doing anything you like.
iStock/LPETTET, iStock/anyaberkut, and iStock/AntonioGuillem are credited with the images. Derek Silva, CEPF® (Certified Environmental Professional). Derrick Silva is on a mission to make personal finance more accessible to the general public. He contributes to SmartAsset by writing on a number of personal financial subjects and serving as a retirement and credit card specialist. A member of the Society for Advancing Business Editing and Writing, Derek also has the title of Certified Educator in Personal Finance® (CEPF®) and is an expert in personal finance.
Derek wants readers to take away from his work the following message: “Don’t forget that money is only a tool to help you achieve your objectives and live the lifestyle you choose.”
Tax Season Refund Frequently Asked Questions
iStock/LPETTET, iStock/anyaberkut, and iStock/AntonioGuillem are credited with the photographs. Derek Silva, CEPF® (Certified Environmental Protection Professional®). Dedicated to making personal finance more accessible to everyone, Derek Silva is on a mission. He contributes to SmartAsset by writing on a number of personal financial subjects, and he is a retirement and credit card specialist. A member of the Society for Advancing Business Editing and Writing, Derek also has the title of Certified Educator in Personal Finance® (CEPF®) and is an expert in personal finance education.
Derek wants readers to take away from his work the following message: “Don’t forget that money is merely a tool to help you achieve your objectives and live the lifestyle you choose.”
I’m counting on my refund for something important. Can I expect to receive it in 21 days?
Following the receipt of your return, a number of different circumstances might influence the timeliness of your reimbursement. Despite the fact that we provide the majority of refunds in less than 21 days, it is conceivable that your refund will take longer. Please bear in mind that your financial institution may require a period of time before crediting your account or mailing you a refund.
It’s been longer than 21 days since the IRS received my return and I haven’t gotten my refund. Why?
- Following the receipt of your return, a variety of circumstances might influence when your refund is processed. It is conceivable that your refund will take longer to process, even though we process the majority of refunds in less than 21 days. Please bear in mind that your financial institution may require a period of time before crediting your account or sending you a refund check by mail.
For the most up-to-date information on IRS return processing during the COVID-19 epidemic, see theIRS Operations Status website (in English). When (or if) we require further information from you in order to process your refund, we will notify you by letter. As long as we’re still processing your return or making corrections to a mistake, neither Where’s My Reimbursement? nor our phone specialists will be able to offer you with an estimated refund date in advance. Please go to Where Has My Refund Gone?
I claimed the Earned Income Tax Credit (EITC) or the Additional Child Tax Credit (ACTC) on my tax return. When can I expect my refund?
According to the Protecting Americans from Tax Hikes (PATH) Act, the Internal Revenue Service is not permitted to provide EITC and ACTC refunds before the middle of the month. When taxpayers choose direct deposit and there are no additional concerns with their tax return, the IRS anticipates that most EITC/Additional CTC refunds will be available in their bank accounts or on their debit cards by March 1. Some taxpayers, on the other hand, may receive their refunds a few days early. Check Where’s My Refund to find out when you will receive your customised refund.
The IRS2Go smartphone app, as well as IRS.gov, continue to be the most convenient ways to check the status of a refund.
Will calling you help me get my refund any faster?
If Where’s My Refund? urges you to call us, our personnel will be unable to give you with any extra information until you specifically request it. If the message “Where’s My Reimbursement?” indicates that we are still processing your return, our personnel will be unable to provide you with an exact refund date.
What information doesWhere’s My Refund?have?
Typically, we will provide you with information on the most recent tax year refund we have on file for you.
Can I use Where’s My Refund? to check the status of a refund on a prior year return.
Where Has My Refund Gone? will show you the current status of your most recently filed tax return during the previous two tax seasons.
When can I start checkingWhere’s My Refund?for my refund’s status?
We’ll notify you within 24 hours of receiving your electronically submitted tax return or within 4 weeks of receiving your paper tax return, whichever is sooner.
WillWhere’s My Refund?show me when I’ll receive my refund?
Where Has My Refund Gone? After we have processed your return and approved your reimbursement, we will contact you to set up a specific day for you.
Will ordering a transcript help me find out when I’ll get my refund?
A tax transcript will not assist you in determining when you will get your refund. There is no guarantee that the information transcripts have about your account will accurately reflect the amount or timeliness of your refund.
They are ideally suited for verifying prior income and tax filing status for mortgage, student, and small business loan applications, as well as for assisting with tax preparation and production of tax returns.
I’m a nonresident alien. I don’t have to pay U.S. federal income tax. How do I claim a refund for federal taxes withheld on income from a U.S. source? When can I expect to receive my refund?
Nonresident aliens who receive income from a source in the United States must disclose the necessary income and withholding amounts on Form 1040-NR, U.S. Nonresident Alien Income Tax ReturnPDF in order to be eligible for a refund of federal taxes withheld on such income. When you submit your Form 1040NR, you must include any supporting documentation that demonstrates your income and withholding levels. To complete a 1040NR return, we require more than 21 days of processing time. Please anticipate up to 6 months for your refund to be processed from the date you filed your 1040NR.
How will I know you’re processing my tax return?
Where Has My Refund Gone? tracks the progress of your tax return from its reception until its conclusion. It will notify you when your return has been received as well as if your refund has been accepted or has been issued.
What is happening whenWhere’s My Refund?shows my tax return status as received?
We have received and are currently processing your tax return.
What is happening whenWhere’s My Refund?shows my refund’s status as approved?
Your tax return has been received and is now being processed by our team of professionals.
How long will it take for my status to change from return received to refund approved?
It can take a few days in certain cases, but it could take longer.
DoesWhere’s My Refund?always display my refund status showing the different stages of return received, refund approved and refund sent?
No, this is not always the case. Instead, when we are still examining your return, it may offer instructions or an explanation of what we are doing, depending on the circumstances.
DoesWhere’s My Refund?update often?
Generally speaking, no. At times, when your return is in the process of being reviewed, the screen will instead display instructions or an explanation of what we are doing.
WillWhere’s My Refund?give me my amended return’s status?
No, it will not provide you with information on revised tax returns. What happened to my Amended Return? can provide you with information on the current status of your amended return. The status of your modified return may only be researched by our phone and walk-in staff if it has been 16 weeks or more since you submitted it in.
I requested a direct deposit refund. Why are you mailing it to me as a paper check?
- We can only deposit refunds into accounts in your own name, the name of your spouse, or the name of a joint account
- Otherwise, we cannot repay you. A direct deposit may be rejected by a banking institution. The amount of electronic refunds that can be deposited into a single bank account is limited to three
Why is my refund different than the amount on the tax return I filed?
It is possible that all or part of your return was utilized (offset) to pay down past-due federal tax, state income tax, state unemployment compensation obligations, child support, spousal support, or other federal nontax debts, such as student loan debt. If you believe you may be entitled to an offset, or if you have any questions concerning an offset, you should contact the collection agency to which you owe the amount. We may have also adjusted the amount of your refund as a result of the modifications we made to your tax return.
You’ll receive a notification informing you of the changes.
page will show the reasons for the refund offset.
What should I do when the refund I receive is not from my tax account?
It is possible that all or part of your return was utilized (offset) to pay down past-due federal tax, state income tax, state unemployment compensation obligations, child support, spousal support, or other federal nontax debts, such as student loan bills. If you believe you may be entitled to an offset, or if you have any questions concerning an offset, you should contact the collection agency to whom you owe the money. Because we made adjustments to your tax return, it is possible that your refund amount has been adjusted as well.
Informing you of the changes will be in writing.
Detailed information on refund offsets may be found in Tax Topic 203, Refund Offsets for Unpaid Child Support, Certain Federal and State Debts, and Unemployment Compensation Debts.
Why is My Tax Refund Delayed?
For the vast majority of people, their tax refund will be the most important money they get throughout the year – and they will rely on it. The Internal Revenue Service understands how important your refund is to you. It takes pleasure in paying out the majority of refunds within 21 days of receiving the request. What happens, though, if your tax refund is delayed? ” Where has my refund gone?” is a question we are asked a lot here at H R Block. In addition, this essay will explain why you may be receiving a delayed tax refund.
- Sought a Recovery Rebate Credit, but the amount you claimed does not match the amount of credit that the IRS determines you are entitled to
- The use of the lookback rule in order to utilize your prior-year earned income in order to compute your Earned Income Tax Credit (EITC) or your Additional Child Tax Credit
If your return fits these requirements, the Internal Revenue Service will personally analyze it, and it may take an additional 90 to 120 days before you get your tax refund. The Internal Revenue Service recommends that you continue to visit theWhere’s My Refundsite for any changes. Additional information is available on the Internal Revenue Service’s website. The IRS and the United States Congress are concerned about the speed with which refunds are issued. When the IRS sends refunds rapidly, there isn’t always enough time to double-check that the returns are correct.
EITC/ACTC Tax Refunds Delayed Until Late February
That’s why, beginning with the 2017 tax season, Congress provided the Internal Revenue Service (IRS) greater powers to scrutinize returns. To be more specific, Congress:
- The deadline for employers to return Forms W-2, which reflect taxpayers’ salary and the amount of income tax withholding they paid, as well as Forms 1099, which disclose payments made to independent contractors, has been extended. Late refunds including the earned income credit (EIC) and/or the supplementary child tax credit must be received before the deadline of January 31. (ACTC). It is possible that the IRS will not be able to distribute these refunds before February 15, but the IRS has stated that you should receive your return by the first week of March.
With the implementation of both new standards, the Internal Revenue Service will have the information and time it requires to investigate more returns before providing refunds for the first time. The IRS, on the other hand, is not new to the practice of scrutinizing and delaying returns. In reality, various IRS compliance programs deduct or delay refunds for millions of taxpayers each year as a result of noncompliance with the law. Some of the reasons why your tax refund may be delayed include the following:
Reason1 – IRS Taking Your Refund
When the Internal Revenue Service issues refunds, it mostly takes or decreases (offsets) payments when taxpayers owe money to the government. The following are the two most prevalent scenarios:
You owe federal taxes, and you haven’t paid:
If the Internal Revenue Service uses your refund to pay back federal taxes you owe, you’ll find out about it a few weeks after you complete your tax return. You’ll receive IRS notice CP49, Overpayment Applied to Taxes Owed, informing you of this. For those who disagree with the IRS’s assessment of their debt, their sole recourse is to file an updated return to remedy the error or fight any additional taxes the IRS has assessed against them in error (like a tax bill from anauditor anunderreporting notice).
You owe other debts, and you haven’t paid:
In accordance with the Treasury Offset Program (TOP), the IRS may deduct or decrease your refund if you owe other forms of obligations, including non-tax debts, such as those listed below.
- Child support that is past due
- Payments to other federal agencies
- State taxes
- And unemployment compensation repayments
The Internal Revenue Service (IRS) is unable to address questions or resolve disputes about TOP debts. Taxpayers who have questions may contact TOP at (800) 304-3107. Spouses who are not responsible for the accident might get a portion of the reimbursement.
If you filed jointly with your spouse and the IRS withdrew your whole refund to pay for your spouse’s debts, you may be able to recover your half of the refund if you file separately. Fill out Form 8379, Injured Spouse Allocation, to file a claim on behalf of your injured spouse.
Reason2 – IRS Holding Your Refund
When it comes to TOP debts, the IRS cannot provide answers or resolve disagreements. For further information, taxpayers can call TOP at (800) 304-3107. Those whose spouses are not accountable can get a portion of their portion of the reimbursement. If you filed jointly with your spouse and the IRS withdrew your whole refund to pay for your spouse’s debts, you may be able to recover your half of the refund if you filed separately. Fill out Form 8379, Injured Spouse Allocation, to file a claim on behalf of an injured spouse.
You mailed in your return, and the IRS flagged a “math error”:
When taxpayers submit their returns electronically, the e-file procedure detects and rejects many of the mistakes that they make on their returns at the time of filing. If you mail your return instead of e-filing it, the Internal Revenue Service is more likely to discover an error after the fact, according to the IRS. The Internal Revenue Service refers to most of these blunders as “math errors,” although they are not confined to arithmetic errors. If your Social Security Number (SSN) or the information about your dependents does not match the information on file with the IRS, the IRS may be able to modify any relevant deductions or credits (like the deduction for your dependent, the EITC or the child and dependent care credit).
If the IRS makes a modification to your return, you’ll get a letter (often IRS notice CP21) informing you of the change and requiring you to fix the problem within 60 days.
You would then need to revise your tax return and follow up with the IRS in order to receive your refund at that time.
The IRS suspects identity theft:
Identity theft filters used by the IRS can cause tax returns and tax refunds to be delayed until people prove their identities. If this occurs, you will often get IRS Letter 5071, in which you will be asked to authenticate your identification. If you want to verify your identity until the Internal Revenue Service (IRS) reinstates its online identity verification process, you can do so by providing the IRS Taxpayer Protection Program unit with information from your previous year’s return, your current-year return, as well as your current-year Forms W-2 and 1099.
The IRS is challenging tax credit(s) you claimed:
It is possible that the IRS will delay your refund and ask for additional information if it determines that you are not eligible to claim any of the following credits: Earned Income Tax Credit (EITC), American Opportunity Tax Credit (ACTC), advanced payments of the premium tax credit, or American Opportunity Tax Credit. Technically, this is a tax-related audit by the IRS. If the Internal Revenue Service contests your EITC claim, you’ll often get Letter CP75, in which the IRS will request documentation that you qualify for the EITC.
Discover how to deal with an IRS audit.
The IRS identified potential ACA health insurance issues:
Because of the return screening filters used by the IRS, if the IRS determines that you are not qualified for the EITC, ACTC, advanced installments of the premium tax credit, or American Opportunity Tax Credit, it may postpone your refund and request further information. A formal audit by the Internal Revenue Service (IRS). A Letter CP75 will be sent to you by the IRS if your EITC claim is challenged. This letter will require you to submit documentation proving your eligibility for the EITC. See, for example, Form 886-H-EIC, Documents You Must Submit to Claim the Earned Income Credit on the Basis of a Qualifying Child or Children for Tax Year 2015, which outlines the documents you must submit to claim the Earned Income Credit on the basis of a qualifying child or children.
You need to file an old return:
When the Internal Revenue Service pursues previous tax returns, the IRS has the authority to hold any refunds you may be entitled until the old return is filed. The only method to resolve this situation and receive your refund is to file the overdue tax return. If you owe taxes on your previous year’s return, the Internal Revenue Service will deduct that amount from your current-year refund. Learn how to deal with past-due tax returns.
You’re under audit from an earlier year:
The Internal Revenue Service (IRS) has the authority to hold your tax refund until any audits are completed. A postal audit of your EITCor ACTC return from a previous year is the most prevalent instance of this occurring. The IRS will often send you Letter CP88, which states that your refund has been held until the IRS has completed the audit. If you provide the IRS with the needed information by the deadline, the IRS will normally complete the audit within six months and will be able to process your refund request.
Handling a Refund Delay – Do Your Research and Respond Right Away
If the IRS is delaying your return, you’ll need to figure out why and maneuver your way through the IRS so that your refund is sent as fast as you can. This might be a difficult undertaking because refund holds can appear to be audits in nature. But, please, be patient and do not be concerned. In the event that your tax return is valid, all that is required is that you explain everything to the IRS (and, if necessary, provide documents). The best course of action is to explore the reason for your refund hold as soon as you receive a notice from the IRS.
Contact the IRS andresearch your IRS account.
When you have a better understanding of why the IRS delayed your tax refund and how to reply to the IRS, you should take action immediately to avoid more complications. Your H R Block tax professional may also assist you in determining the cause of a refund delay and can speak with the Internal Revenue Service on your behalf. Learn more about H R Block’s Tax AuditTax Notice Services by visiting their website.
”I am needing the money right now to pay on my mortgage”: Taxpayers still waiting for 2020 refund
RALEIGH, N.C. (WTVD) – The city of Raleigh is preparing for a blizzard. With fewer than two months remaining in the year 2021, 9 million individuals are still waiting for their federal income tax refunds from the previous year, according to the IRS. “I haven’t heard anything yet,” said Anthony Knight, a resident of Raleigh. He has documentation proving that he filed his taxes in March of this year and has been waiting for his almost $8,000 return since then. Then he went on to say, “It’s the most aggravating thing in the world right now.” He claims to have phoned the Internal Revenue Service dozens of times for an update.
- Mary Tuck, a Roxboro resident, is also still waiting for her reimbursement from the year 2020.
- She is also battling cancer at the same time that she is suing the IRS for answers.
- Returns are being delayed when an error or inaccurate information is entered on a return, according to CPA Aradhana Aggarwal, who has her office in Durham.
- “Once the snag is established, the IRS is now so backlogged that everything takes an inordinate amount of time,” Aggarwal explained.
- Throughout the past year, ABC11 has reported the difficulties the Internal Revenue Service is experiencing in processing 2020 tax returns.
- The Internal Revenue Service worked hard over the last year to reduce the backlog, but it has not accomplished its goal.
In my experience, folks have been waiting for as long as five or six months, despite the fact that their returns were submitted electronically and that the usual processing period is still 21 days.” Aggarwal stated that retroactive laws, such as exempting up to $10,200 in unemployment benefits from taxation, as well as new IRS rules, were detrimental to the processing time.
- Some of the modifications are temporary, while others are permanent, but because of the numerous changes that have occurred, it has been extremely difficult for the IRS to keep up “” she explained.
- According to the government, it is having to rectify much more errors than in past years, and refunds for returns that require modification might take up to four months to process.
- The Internal Revenue Service (IRS) posted on the internet, “Tax returns are examined and processed according to the sequence in which they are received.
- If we can resolve the situation without contacting you, we will do so.
Your response time and accuracy, as well as the ability of IRS staff who have been trained in social distancing requirements to complete your return processing, will determine how long it will take to resolve these issues, which could range from 90 to 120 days “There are several reasons why your tax return may take longer to process:
- It is necessary to correct the amount of the Recovery Rebate Credit
- Is insufficient
- Has been compromised by identity theft or fraud
- A claim for an Earned Income Tax Credit or an Additional Child Tax Credit that is based on income from the current year is included. The package also contains Form 8379, Injured Spouse Allocation, which might take up to 14 weeks to be processed. In general, it is necessary to do more research.
THE STEPS TO TAKE IN ORDER TO RECEIVE YOUR REFUND If you haven’t received your tax return yet, you may check the progress of your application online at What Happened to My Refund? Alternatively, you may access your account online by clicking here. After filing online and receiving an acknowledgement, the IRS stated that you are not required to take any additional action beyond responding quickly to any requests for information that may be sent your way. You may check Where’s My Refund to see whether the IRS has received your paper return and if it says the IRS is processing or reviewing your return.
- According to the IRS, there is no need to submit a second tax return.
- While it may be difficult to get through, dialing first thing in the morning may be more successful because wait times are often less.
- to 7 p.m.
- WTVD-TV retains ownership of the copyright until 2022.
Filed your taxes? How to check your income tax refund status
The IRS strongly advises submitting your return online and using direct deposit in order to get your refund as quickly as possible. Angela Lang is a contributor to CNET. Now that the Internal Revenue Service is processing tax returns for the year 2021, tax refunds should be arriving in the mail shortly for individuals who submitted their forms correctly. However, how will you know when your money will be sent to you? Using IRS software, you can keep track of the status of your tax refund. Because of the COVID-19 epidemic, the Internal Revenue Service expects to see a significant increase in the number of tax returns it processes this year.
“Filing a paper tax return this year will result in a prolonged refund delay,” IRS Commissioner Chuck Rettig stated in a statement issued on January 24.
We’ll go through how to monitor your return online using the Where’s My Refund?
Find out how to set up an online IRS account, how to claim the remainder of your child tax credit money, how to file your taxes for free, and the ten tax changes that might affect the size of your return this year in our tax information section.
How long will it take for my tax refund to arrive?
Tax refunds are typically sent within three weeks by the Internal Revenue Service, but some taxpayers may have to wait a little longer to get their cash. In the event that there are any mistakes, or if you made a claim for the earned income tax credit or the child tax credit, you may have to wait a long time. A problem with your return’s processing can be resolved “depending on how quickly and accurately you respond, as well as the ability of IRS staff who have been trained and who are working under social distancing requirements to complete the processing of your return,” according to the Internal Revenue Service website.
If you filed your tax return by mail, the Internal Revenue Service estimates that it will take between six and eight weeks for your tax refund to arrive once it has been processed.
This means that if it takes the IRS the full 21 days to issue your return check and your bank the full five days to post it, you might be out of pocket for a total of 26 days before receiving your refund.
What money will be included with my tax refund this year?
This year, there are a number of items that may be added to your tax return to make it more valuable. As is customary, if you overpaid your taxes in 2021, you will receive a refund of the money you overpaid. Parental benefits may include the remainder of yourchild tax credit money, as well as repayment for any money you spent on child care-related expenditures over the previous year if you qualify. Also, if you haven’t received your third stimulus payment yet, you may be eligible to get it when you receive your tax return.
Why could my tax refund be delayed?
In this year’s tax season, there are various items that might be added to your refund. Tax refunds will be issued to those who have overpaid their taxes in fiscal year 2021. Parental benefits may include the remainder of yourchild tax credit money, as well as repayment for any money you spent on kid care-related expenditures over the previous year if you are a parent. You may also receive your third stimulus payment if you haven’t received it yet when you receive your tax return.
- There are mistakes on your tax return
- It’s a work in progress
- It is suspected that your reimbursement is the result of identity theft or fraud. The earned income tax credit or the supplementary child tax credit was applied for on your behalf. Your return requires additional examination
- The injured spouse allocation form (Form 8379(PDF)) is included in your return, and it might take up to 14 weeks to be processed.
If the IRS determines that a necessary tax adjustment must be made to a recovery rebate credit, earned income tax credit, or extra child tax credit claimed on your return, the IRS will email you an explanation of the situation. If there is a problem that has to be resolved, the IRS will initially attempt to resolve it without contacting you for your permission. But if it need further information, it will write you a letter to tell you.
How to use the Where’s My Refund? tool
The IRS tracker tools require you to enter some personal information, including your Social Security number or Individual Taxpayer Identification Number, your filing status (single, married, head of household), and the amount of the refund in whole dollars that you can find on your tax return in order to check on the status of your 2021 income tax refund. Ensure that at least 24 hours have passed (or up to four weeks if you returned your item through mail) before beginning the refund tracking process.
- directs you to theGet Refund Statuspage where you may fill up your personal information before pressing the Submit button.
- If this is the case, you may be required to validate your personal tax information and try again.
- The Internal Revenue Service now provides a smartphone app, called IRS2Go, that allows you to monitor the status of your tax refund.
- Whether or not your return has been received, authorized, and dispatched will be visible to you.
- This tool is updated overnight by the IRS, so if you don’t see a change in your status after 24 hours or longer, check again the following day.
- In order to find out where your tax refund is, go to Where’s My Refund?
- If you are seeking for information on earlier years’ returns, go to yourIRS online account for further information.
The IRS2Go smartphone app allows you to check on the status of your refund. CNET image courtesy of James Martin
What do these IRS tax refund statuses mean?
Both the IRS’s online and mobile tools (both the website and the mobile app) will display one of three messages to describe the status of your tax return.
- Received: The Internal Revenue Service has received and is working to process your tax return. When your return is approved, the IRS has processed your information and confirmed the amount of your refund, if you are due one. Sent: Your refund has been processed and is on its way to your bank, either as a direct deposit or as a printed check in the mail. (If you’ve moved, you can find out how to update your address on file here.)
Can I contact the IRS for more help?
While you might try phoning the IRS to see whether your situation has changed, the agency’s live phone support is severely restricted. You should avoid filing a second tax return or contacting the Internal Revenue Service to inquire about the status of your return. For further information, the Internal Revenue Service directs visitors to theLet Us Help Youpage on its website. It also recommends that taxpayers seek in-person assistance from Taxpayer Assistance Centers. You can contact your local IRS office or call to schedule an appointment at 844-545-5640 to schedule an appointment.
Although the chances of receiving live help are minimal, the IRS recommends that you contact the agency directly only if it has been more than 21 days since you paid your taxes online or if the Where’s My Refundtool directs you to do so.
I see an IRS TREAS 310 transaction on my bank statement. What does it mean?
If you get your tax return by direct deposit, the transaction may be identified as IRS TREAS 310 on your bank statement. It is sufficient to identify the transaction as a refund from a previously filed tax return in the form of an electronic payment by referring to the 310 code (direct deposit). Tax refunds can also be found in the description section by searching forTAX REF. Seeing a 449 instead of a 310 indicates that your return has been reduced to account for past-due debt.
Why would my tax refund come in the mail instead of direct deposit?
There are a variety of reasons why you could get your refund in the mail. Your money can only be electronically placed into a bank account in your name, in the name of your spouse, or into a joint bank account with another person. If that is not the case, you may be receiving numerous refund checks, as the IRS can only direct deposit up to three refunds to a single account at any given time. Additional refunds must be mailed to the customer. Additionally, your bank may reject the deposit, in which case the IRS will use this as the next best option to refund your money as promptly as possible.
Sign into your IRS account to double-check that the agency has the necessary banking information on file, just in case anything goes wrong.
Is Your Tax Refund Delayed? Here’s Why and What to Do About It.
In a typical year, the vast majority of taxpayers get their tax refunds within 21 days of completing their returns online. However, this is not an average year. As a result of COVID-19 sending employees home, the Internal Revenue Service already had a backlog of paper tax returns to process from the previous year. The start of this year’s tax-filing season was delayed from late January to Feb. 12 to give the IRS additional time to prepare for tax law changes resulting from the December 27 relief package.
Meanwhile, the Internal Revenue Service (IRS) was entrusted with disbursing the stimulus funds from the disaster relief bills.
“Aside from the usual tax season crunch, which they alleviated a little by extending the deadline to May 17, they had three different stimulus checks to distribute via debit cards or deposit into taxpayers’ bank accounts,” Carlisle says.
Find out everything you need to know if you’re still waiting for your tax return in this article.
How Long Does It Take to Receive Your Refund?
If you file your return online and request a direct deposit into your bank account, you should get your refund within 21 days, assuming there are no problems with your return. If you file electronically but want a physical check, you should expect to get your refund within a month. If you submit a paper return and request a paper check, the time frame might increase dramatically – by as much as two months or more. Depending on whether you made any mistakes on your return, if the income you reported does not line up with the W-2s or 1099s the IRS received on your behalf, or whether your return has been affected by recent tax law changes, the procedure may take longer.
How to Check the Status of Your Refund
Within 24 hours of e-filing, you may check the status of your return using the IRS’Where’s My Refund? feature. You may not be able to check on the status of your paper tax return until four weeks after filing it, or even later if you filed it on paper. Fill up the blanks with your Social Security number, your filing status, and the exact dollar amount of the refund you received after completing your tax return. The tool will inform you whether or not your return has been received, whether or not your refund has been accepted, and whether or not your refund has been delivered.
However, some reimbursements have been delayed for such a lengthy period of time this year that the tool isn’t always useful.
The following are some of the reasons why your payment may be delayed, as well as what you may do to resolve the situation.
Why Is Your Refund Delayed?
In a regular year, there are a variety of reasons why your refund may be delayed, as well as some unique reasons for 2020 returns. In certain circumstances, you will just receive the funds later than anticipated. In some cases, the IRS may send you a letter requesting more information before it can complete processing your return and issue your refund. Remember that the IRS will never contact you if there is a problem with your return – that is almost always a scam – but will instead send you a letter if there is a problem.
When you’ve determined that the letter is legitimate, you should absolutely react in the way required in the letter, according to Kathy Pickering, chief tax officer at H R Block.
Some of the reasons why your refund may be delayed include the following factors:
Errors on Your Return
Having arithmetic problems on your return, forgetting to sign or provide your Social Security number, or any of these things might cause your refund to be held up. It may also be delayed if the information about your dependents does not match the information on file with the IRS, or if you fail to provide a comparable schedule or form to substantiate a deduction or credit, according to Pickering.
Because of minor math problems, the IRS may choose to remedy the error rather than notify the taxpayer of the change. In the case of more serious problems, you may be required to reply to an IRS request for further information.
Reported Income Doesn’t Match IRS Records
When you receive W-2s or 1099s that reflect income, the Internal Revenue Service receives copies as well. If the numbers you provide and the information the IRS gets do not line up, your return may be delayed while the IRS attempts to resolve the disparity between the two sources of information. In the event that information on your tax return does not correspond to information in the IRS databases, your tax return will be routed to the error resolution channel, according to Mark Steber, chief tax information officer for Jackson Hewitt Tax Service.
Direct Deposit Accounts Don’t Match Up
If you choose direct deposit but the ownership of the bank account does not match the filing status on the return – for example, if you have the refund deposited into an account for one spouse when the return was filed jointly – your refund may be delayed, according to Barbara Weltman, author of J.K. Lasser’s 1001 DeductionsTax Breaks 2021 and a tax professional. This may cause the refund to be delayed and the IRS to send a paper check in lieu of a refund.
The IRS Suspects Identity Theft or Fraud
“The Internal Revenue Service’s identity theft filters can cause returns and tax payments to be delayed until people prove their identities,” adds Pickering. You will most likely be required to supply the IRS Taxpayer Protection Program unit with information from last year’s return, your current year return, as well as information from current year Forms W-2 and 1099.
The Recovery Rebate Credit Doesn’t Match
Pickering explains that the IRS’s identity theft filters might cause tax returns and refunds to be held up until people authenticate their identity. You will most likely be required to supply the IRS Taxpayer Protection Program unit with information from last year’s return, your current year return, as well as information from current year Forms W-2 and 1099. ”
Double Dipping on Dependents
Several young adults, citing the ease with which tax-filing software is used, submitted their own tax returns and did not coordinate with their parents’ forms, according to Carlisle. The fact that “many students learned they could do their own taxes online themselves” led to their claiming their own exemption, according to her. You can’t do both if their parents have taken them in as dependents as well. “As a result, reimbursements have been suspended until the problem is resolved, and someone will have to file an updated return,” she explains.
You Need to File an Old Return
As Pickering explains, “When the Internal Revenue Service seeks back tax returns, the IRS has the authority to hold any refunds you may be entitled to until you file the old return.” “The only way to resolve this situation and receive your refund is to file the overdue tax return. If you owe taxes on your previous year’s return, the Internal Revenue Service will deduct that amount from your current year’s refund.”
You Mailed Your Return
As Pickering explains, “When the Internal Revenue Service pursues back tax returns, the IRS has the authority to hold any refunds you may be entitled to until you file the previous return.” “This problem can only be resolved by filing the past-due tax return and obtaining a reimbursement for it.
Taxes due on your previous year’s return will be deducted from your current-year refund by the Internal Revenue Service (IRS).”
You Received Unemployment Benefits
When the relief law passed on March 11, 2021, it exempted up to $10,200 in unemployment benefits from taxation for the year 2020. Many taxpayers had already filed their returns at that point. As an alternative to requesting that these early filers revise their returns, the IRS indicated that they will recalculate the refunds for those who were affected by the change. In Pickering’s opinion, “these taxpayers will very certainly get a refund in addition to any refund owed on a previously filed return.” “These will begin to be distributed in May and will continue throughout the summer.