Since the start of the 2023 Tax Season, the IRS completed more than 36.8 million returns as of February 17, a 10% growth compared to last year’s tax season. CNET reports that the increase in tax returns enabled the agency to give out $87.2 billion or 11.8% refund to taxpayers. The current total number of refunds is 27.8 million, or about 25.9% higher for the same period in 2022.
According to CNET, most eligible taxpayers should receive their refund within three weeks of filing for those who opt for direct deposit. Taxpayers who chose paper checks might receive the refunds six to eight weeks after filing. Taxpayers can also track their refund in the IRS’s ‘Where’s My Refund?’ tool.
However, the IRS warned the taxpayers that the refund would be smaller this year. GOBankingRates reports the average refund as of February 17 would amount to $3,140. Eric Bronnenkant, head of tax at Betterment, explained that the average refunds have decreased due to the expiration of pandemic-era benefits. But, taxpayers should have an easier filing experience this year as there is lesser complexity.
See IRS Warning: 2023 Tax Refunds Could Be Smaller – See Why
The IRS warns taxpayers who received special payments or extra refunds in 2022 to hold off on filing and wait for additional guidance. (Photo: The Economic Times)
Meanwhile, the IRS warns some taxpayers in states who issued a special payment or extra refunds, including Arizona, New York, and Hawaii, to hold off on filing. The IRS recommends taxpayers, particularly those who received the 2022 inflation relief payment, wait until additional guidance is available.
Read More: IRS: Taxpayers won’t Need to Report Middle-Class Tax Refund as Income
