Once you’ve filed your taxes for the year, you probably wonder how soon your refund will arrive—especially if you have big plans for it. In general, the Internal Revenue Service (IRS) says that nine out of ten taxpayers who file electronically can expect their refunds within 21 days.
But what if that much time has elapsed and your refund is still missing in action? Here is what you need to know and do.
Key Takeaways
- The Internal Revenue Service (IRS) says that taxpayers who e-file can generally expect to receive their refunds within 21 days.
- You can check on the status of your refund at the IRS’s Where’s My Refund? page.
- Reasons why you haven’t received your refund can range from simple math errors on your return to identity theft and tax fraud. Or it might simply mean an unusually high processing volume at the IRS.
First, Check Your Refund Status Online
If you are wondering where your refund is, you can start by checking its status on the IRS’s Where’s My Refund? page. To do that, the IRS says you will need:
- Your Social Security number (SSN) or individual taxpayer identification number (ITIN)
- Your filing status
- Your exact refund amount
Click on the "Check My Refund Status" button, supply the required information, and you’ll get results. Unfortunately, this tool does not provide much detail about why your money may be delayed. It may advise you to call the IRS, from which you should be able to learn more details. However, the IRS says you should not call unless one of the following two things is true:
- It has been 21 or more days since you e-filed.
- The Where’s My Refund? online tool tells you to contact the IRS.
7 Reasons for a Late Tax Refund
Manythings can hold up the processing and delivery of your tax refund. For example, it could be delayed if you filed your return too early or waited until the last minute. If you tried to file in January, for example, a last-minute change to the tax code could have triggered an error on your return that slowed down the processing. Similarly, waiting until the last minute to get your return in can mean a longer wait for your refund if the IRS is backlogged with a larger-than-usual volume of returns.
Also, keep in mind that filing a paper return can slow things down. The fastest way to file—and to get your refund—is to do it electronically online. Here are some of the most common causes of delay:
1. Your Tax Return Contains Inaccurate Information
Numerical errors or other mistakes on your tax return can slow the pace of your refund. When an error is detected, your return is earmarked for human review, meaning that an IRS employee must comb through it to find the mistake. That can add days or weeks to the processing time.
2. Your Return Is Incomplete
Having an incomplete return can also trigger an IRS review, which could mean a longer wait for your refund. For example, if you filed a paper return and forgot to enter a key piece of information, such as your SSN, or you failed to sign your tax forms, then the IRS won’t process your return until those items are checked off.
3. You’re a Victim of Tax Fraud
One type of tax fraud involves someone using your personal information to file a fraudulent tax return and claim a refund in your name. For the 2023 tax-filing season, the IRS identified more than 337,662 fraudulent refund claims, with 87,591 of them tied to identity theft. If you think you’re a victim of tax-related identity theft, you can contact the IRS and the Federal Trade Commission (FTC) to report it.
4. Your Refund Was Sent to the Wrong Bank
Filing your return electronically is the fastest way to get your refund, especially if you’re using direct deposit. That assumes, however, that you entered the correct numbers for your bank account. If you transposed a digit in the routing or account number, your money could be sent to someone else’s account.
If your refund ends up in someone else’s bank account, you’ll have to work with the bank directly to get it back. The IRS says it can’t—and won’t—compel the bank to return your money to you.
5. You Claimed Certain Tax Credits
Tax credits reduce your tax liability on a dollar-for-dollar basis. Certain tax credits—including the earned income credit (EIC) and the additional child tax credit—often draw scrutiny from the IRS due to taxpayers claiming these credits fraudulently. If you claimed either credit, then that could be the reason why your refund hasn’t yet arrived.
6. You Amended Your Return
Amending a tax return can also create a delay. In 2020, the IRS changed the rules to allow for electronic filing of amended returns for certain forms. You can electronically file an amendment for Form 1040 or 1040-SR for tax years 2020 or later, or Form 1040-NR for tax year 2021 or later, as long as the original was also filed electronically. If you originally filed your return on paper, then the amended return must also be on paper. Due to processing delays, it may take more than 20 weeks to process your return, meaning that you may be waiting several months for your refund.
If you owe certain kinds of debts, then your tax refund may have been taken, or “offset,” by the IRS to pay them.
7. Your Refund Has Been Offset to Pay a Debt
If you owe certain debts—including unpaid child support, unpaid state taxes, or delinquent federal student loans—the IRS can offset your refund by the balance owed. If your refund is offset, you’ll receive a notice from the U.S. Treasury’s Bureau of the Fiscal Service advising you as to why your refund was taken and the agency to which the debt has been owed. You have the right to dispute the debt with the agency that received your refund.
How Long Will It Take to Get My Tax Refund?
The Internal Revenue Service (IRS) says that 90% of taxpayers who file their return electronically will get their refund within 21 days. That said, a sizable amount of refunds can be delayed beyond that, sometimes significantly.
What Are the Most Common Reasons for Delay?
An incomplete return, an inaccurate return, an amended return, tax fraud, claiming tax credits, owing certain debts for which the government can take part or all of your refund, and sending your refund to the wrong bank due to an incorrect routing number are all reasons that a tax refund can be delayed.
How Do I Check My Refund Status?
The IRS maintains a Where’s My Refund? page on its website. Go there and plug in your Social Security number (SSN) or individual taxpayer identification number (ITIN), filing status, and exact amount of your refund to get an update on where in the pipeline it is.
The Bottom Line
Above are some of the most common reasons for a delayed refund. A refund could also be late if it’s lost in the mail. Having your refund stolen from your mailbox is another possibility. And a government shutdown, such as the one that took place in January 2019, could also result in a longer wait for your return to be processed and your refund sent. If the Where’s My Refund? tool isn’t offering any answers, you can turn to your local IRS office for help. The IRS may be able to trace your refund to find out what has happened to it and issue a replacement if needed.
As a seasoned tax professional with extensive expertise in tax regulations and procedures, I can shed light on the intricate details surrounding tax refunds and the potential delays taxpayers may encounter. My comprehensive understanding of the Internal Revenue Service (IRS) processes and the factors influencing the timely issuance of refunds allows me to provide valuable insights into the topic at hand.
Understanding the Tax Refund Process:
The article rightly emphasizes that the majority of taxpayers who file their returns electronically can expect to receive their refunds within 21 days, according to the IRS. This is a crucial point, highlighting the efficiency of electronic filing in expediting the refund process.
Checking Refund Status:
The suggestion to check the status of your refund on the IRS's "Where's My Refund?" page is a prudent one. I can attest to the importance of having your Social Security number (SSN) or individual taxpayer identification number (ITIN), filing status, and the exact refund amount on hand for this process. This online tool serves as a valuable resource for taxpayers to track the progress of their refunds.
Reasons for Delay:
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Inaccurate Information on Tax Return: Numerical errors or mistakes on a tax return can lead to delays, as the return undergoes manual review to identify and rectify errors.
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Incomplete Return: An incomplete return triggers an IRS review, requiring additional time for processing. This could result from missing information, such as a Social Security number or a signature on paper returns.
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Tax Fraud and Identity Theft: The article correctly identifies tax fraud as a significant concern, with identity theft leading to fraudulent refund claims. Reporting such incidents to the IRS and the Federal Trade Commission is crucial in addressing these issues promptly.
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Incorrect Bank Information: Providing accurate bank information is essential for timely refunds, especially with electronic filing and direct deposit. Errors in routing or account numbers can divert refunds to the wrong accounts, necessitating resolution with the involved bank.
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Certain Tax Credits: Claims for specific tax credits, such as the earned income credit (EIC) and additional child tax credit, may attract scrutiny from the IRS, causing delays in processing.
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Amended Returns: The article rightly points out that amending a tax return, particularly if the original was filed on paper, can lead to extended processing times, potentially exceeding 20 weeks.
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Refund Offset to Pay Debts: Owing certain debts, such as unpaid child support or federal student loans, can result in the IRS offsetting the refund to settle the outstanding balance.
Additional Insights:
The article appropriately acknowledges that factors beyond those listed can also contribute to delayed refunds, such as lost mail, theft of refunds from mailboxes, and government shutdowns affecting IRS operations.
Conclusion:
In conclusion, taxpayers experiencing delayed refunds should utilize the "Where's My Refund?" tool and, if necessary, contact the IRS directly. With my in-depth knowledge of tax processes, I can affirm that seeking assistance from the local IRS office is a viable option for tracing refunds and resolving issues that may arise during the refund process.
