The IRS has kicked off tax season, with an estimated 140 million people expected to file returns by April 15. To assist taxpayers, the IRS has introduced a new online tool to track refund status.
Refund Timeline
If you file electronically, expect a refund within 21 days. Opting for direct deposit can expedite this process. Paper filers may wait up to four weeks or more. Amendments or corrections can further delay refunds.
Checking Refund Status
Use the 'Where’s My Refund?' tool online to monitor your refund status. Information is updated daily, and you'll need your Social Security or ITIN, filing status, and refund amount.
Understanding Refunds
Refunds are issued if you overpaid taxes through withholding or qualify for refundable credits like EITC or Child Tax Credit. You have three years to claim a tax refund.
Earned Income Tax Credit (EITC)
To qualify, your investment income must be under $11,600, and your working income must meet specific thresholds based on marital status and dependents.
Child Tax Credit
Families with children may qualify for up to $2,000 per child. Children must have a Social Security number, be under 17, and claimed as dependents. Income limits apply.
IRS Direct File Program
The IRS has expanded its Direct File program to 25 states, allowing taxpayers with simple W-2s to file directly with the agency for free. Last year, participants claimed over $90 million in refunds through this program.
Stay informed and make the most of this tax season by utilizing available tools and credits to maximize your refund potential.
