How Long Do Tax Refunds Take to Process?
Discover how long tax refunds typically take, what factors influence processing, and how to effectively track your payment.
Tax refunds represent an overpayment of tax liability, returned by the federal government. The Internal Revenue Service (IRS) reviews submitted tax returns to determine if a refund is due. Once verified, the IRS issues the payment to the taxpayer.
Standard Processing Timelines
The IRS issues federal tax refunds within 21 days for electronically filed returns with direct deposit. This timeframe is common for most taxpayers. Choosing a paper check instead of direct deposit results in a longer wait, as physical checks require additional mailing time.
Paper-filed returns take six to eight weeks for the IRS to process. The “Where’s My Refund” tool becomes accessible for e-filed returns within 24 hours. For paper returns, wait at least four weeks before checking status. The system updates once daily, overnight, so checking multiple times will not yield new results.
Factors Influencing Processing Times
The method of filing is a primary determinant of refund processing time. Electronic filing leads to faster processing than mailing a paper return. Direct deposit further accelerates the process.
Errors or inaccuracies on a tax return can delay refund processing. Simple mistakes, such as mathematical errors, missing information, or an incorrect Social Security Number, necessitate manual review and correction by the IRS. Claiming certain tax credits, like the Earned Income Tax Credit (EITC) or the Additional Child Tax Credit (ACTC), also impacts refund timing. The Protecting Americans from Tax Hikes (PATH) Act of 2015 mandates that the IRS hold refunds for returns claiming these credits until after February 15th to combat fraud.
Filing an amended return (Form 1040-X) results in a longer processing period, generally 8 to 16 weeks. Suspicions of identity theft or tax fraud can trigger extensive IRS reviews, causing delays while the agency verifies legitimacy. If a return is selected for review or an audit, processing time extends. High volume periods, such as the weeks leading up to the April tax deadline, also lead to slower processing times due to high volume.
Checking Your Refund Status
Taxpayers can monitor their federal tax refund status through online tools. The primary resource is the IRS “Where’s My Refund” tool, accessible on the IRS website or IRS2Go mobile application. This tool provides information on the refund’s status.
To use the “Where’s My Refund” tool, taxpayers need to provide identifying information. This includes their Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN), filing status (e.g., Single, Married Filing Jointly), and the exact refund amount. The tool displays three main statuses: “Return Received” (IRS has received and is processing your return), “Refund Approved” (IRS has approved and is preparing to send the refund), or “Refund Sent” (refund has been sent). For amended returns (Form 1040-X), use “Where’s My Amended Return.”
Actions for Delayed Refunds
If a federal tax refund is delayed beyond standard processing times, taxpayers can take steps to inquire about its status. Wait at least 21 days after e-filing, or six to eight weeks after mailing a paper return, before taking action, unless the “Where’s My Refund” tool directs you to contact the IRS. Before contacting the IRS, re-examine your tax return for errors or missing details.
If direct deposit was not selected, confirm a paper check has not arrived, as these take longer to deliver. The IRS can be reached at 800-829-1040 for individual tax questions, or the automated refund hotline at 800-829-1954 provides status updates. Best times to call to minimize wait times are Wednesday through Friday, after 7:00 AM local time. When contacting the IRS, have your Social Security Number or ITIN, filing status, tax year, exact refund amount, and a copy of your tax return available.
Another step for delayed refunds is to obtain a tax transcript. A tax transcript summarizes tax return information and can offer insights not available through the “Where’s My Refund” tool. Transcripts are free and can be requested online through the IRS “Get Transcript” service, by mail, or by calling 800-908-9946. Requesting online is the fastest method. Avoid filing a second, identical tax return, as this causes further processing delays.