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The average tax refund is 10.4% lower than last year according to the latest Internal Revenue Service data, and inflation is taking more of those dollars.<\/p>\n
Bill Oxford | E+ | Getty Images<\/p>\n<\/div>\n<\/div>\n<\/div>\n
The average tax refund<\/a> this year is down 32.4% compared to last year, according to early filing data from the IRS.\u00a0<\/p>\n Tax season opened on Jan. 27<\/a>, and the average refund<\/a> amount was $2,169 as of Feb. 14, down from $3,207 about one year prior, the IRS reported on Friday. That figure reflects current-year refunds only.<\/p>\n However, the Feb. 14 filing data doesn’t include refunds receiving the earned income tax credit<\/a> or additional child tax credit<\/a>, which aren’t issued before mid-February, the IRS noted. The previous year’s filing data included tax returns claiming these credits. The value of these tax breaks can be substantial, even resulting in five-figure refunds<\/a>, in some cases.<\/p>\n More from Personal Finance:<\/strong> Typically, you can expect a refund when you overpay taxes throughout the year via paycheck withholdings<\/a> or quarterly estimated payments<\/a>. By comparison, there’s generally a tax bill when you haven’t paid enough.<\/p>\n<\/div>\n Although the average refund is currently smaller, “historically, filing season numbers even out as more tax returns come in,” according to the agency.<\/p>\n As of Feb. 14, the IRS received roughly 33 million individual tax returns of the more than 140 million it expects before the April 15 deadline.<\/p>\n As of Dec. 27, 2024, the average tax refund<\/a> for the 2024 season was $3,138, compared to $3,167 in late December 2023.\u00a0<\/p>\n<\/div>\n The latest filing statistics come amid mass layoffs<\/a> for the agency as Elon Musk’s so-called Department of Government Efficiency<\/a>, or DOGE, continues to cull the federal workforce<\/a>.\u00a0<\/p>\n It’s unclear exactly how the staffing reduction could impact future taxpayer service. But experts recommend double-checking returns for accuracy to avoid extra touch points with the agency.<\/p>\n “Don’t call the IRS looking for your refund,” said Tom O’Saben, an enrolled agent and director of tax content and government relations at the National Association of Tax Professionals.\u00a0<\/p>\n You can check the status of your refund<\/a> via the agency’s “Where’s My Refund?<\/a>” tool or the IRS2Go<\/a> app, which is “available 24 hours a day,” O’Saben said.<\/p>\n Typically, the agency issues refunds<\/a> within 21 days of a return’s receipt. But some returns require “additional review,” which can extend the timeline, according to the IRS.<\/p>\n<\/div>\n
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