Tax Filing Season Begins
NEW YORK (AP) — The tax filing season has started, with the IRS estimating that about 164 million individuals will submit their returns by April 15.
Last year, taxpayers received an average refund of $3,167. This year, analysts think that amount could increase by as much as $1,000 due to new tax laws. Over 165 million individual income tax returns were processed last year, and around 94% were submitted electronically.
Those who are filing simple returns should not face significant delays, but it’s worth noting that a reduction in IRS staff since the Trump administration took office has led to some hold-ups. The National Taxpayer Advocate has indicated that navigating the tax filing process could be tougher for those encountering issues.
Last year, IRS staff weren’t permitted to accept buyouts until after the tax filing deadline, resulting in many customer service employees retiring. Initially, the IRS had around 102,000 employees in 2025, but staff numbers fell to about 74,000 following layoffs and efficiency initiatives.
Refund Issuance Timeline
If you file electronically, the IRS suggests your refund could be issued within 21 days. However, if you opt for direct deposit, the timeframe may stretch out. For paper returns, refunds could take over four weeks, especially if there are corrections needed.
The IRS cautions taxpayers not to expect their refunds by a specific date—this is particularly important if big purchases or bills are involved.
Checking Refund Status
Taxpayers can use online tools to check their refund status within 24 hours after e-filing, and generally within four weeks for paper submissions. The IRS states that these tools will also provide estimated deposit dates for many early filers of the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC).
It’s important to have your Social Security Number or Individual Taxpayer ID Number (ITIN) ready. Taxpayers can also use the IRS2Go app or their Personal Online Account to stay updated on their refund status.
Understanding the Tax Refund System
If you’ve paid more tax than you owe throughout the year, you’re entitled to a refund. Additionally, you can qualify for a refund even without excess withholding if you meet conditions for refundable credits like the EITC or Child Tax Credit. You must submit a tax return within three years to claim your refund.
Eligibility for the Earned Income Tax Credit
To be eligible for the EITC, your investment income needs to be below $11,950, along with certain income limits from employment. If single without children, your income must not exceed $19,104. For those married filing jointly with three or more children, the income ceiling is $68,675. You can use the Online EITC assistant tool to help determine your eligibility based on your family situation.
Child Tax Credit Eligibility
Families with children are likely to qualify for the Child Tax Credit, which can be up to $2,200 per eligible child. To qualify, a child must:
- Have a Social Security number
- Be under 17 by the end of 2025
- Be related in specific ways to the taxpayer and meet dependency requirements
- Not provide over half of their own support in the tax year
- Have lived with the taxpayer for more than half the year
If eligible and your annual income is $200,000 or less ($400,000 if filing jointly), you can claim the full child tax credit for qualifying children. If you owe little tax, an additional child tax credit of $1,700 per qualifying child may also be available but requires earnings of at least $2,500.
Availability of Tax Credits
The IRS expects most EITC, Child Tax Credit, and Supplemental Child Tax Credit refunds to hit bank accounts or debit cards by March 2 for those who opt for direct deposit. Depending on the bank, some taxpayers might see their refunds even sooner.
Changes for This Year
For this tax season, most individuals will need to provide their bank routing and account numbers for direct deposits, as the IRS is phasing out paper checks following an executive order.
