The tax return filing season for 2025 kicked off on January 27, prompting many to consider their potential refunds. An update from the Internal Revenue Service (IRS) revealed that by January 31, over 13 million returns had been submitted, with more than 3 million refunds issued.
A tax refund serves as a reimbursement for taxpayers who have unintentionally overpaid their income taxes, and the government returns this excess money.
If individuals find themselves receiving a substantial refund, it might indicate that they are having too much withheld from their paychecks by their employers. The W-4 form, known as the Employee’s Withholding Certificate, provides necessary details to employers for withholding the appropriate federal income tax from employees’ paychecks, which directly affects any potential federal tax refund. Taxpayers can utilize the IRS “Tax Withholding Estimator” tool to adjust their withholding for the following tax year if they notice their refund is excessively large or small. According to IRS guidelines, you have three years to claim a tax refund.
Based on IRS statistics from the filing season, the average tax refund during the 2024 season—for the tax year 2023—was $3,138. By the end of December, nearly 105 million tax refunds had been processed, amounting to over $329 billion.
Read More: What Is the Average Tax Refund?
Here’s a comprehensive guide on when to anticipate your IRS tax refund and how to monitor its status.
When can I expect my tax refund?
The IRS indicates that if you filed your tax return online, you can generally expect your refund within 21 days, although processing may be delayed if your return requires corrections or further review. For returns submitted via mail, refunds may take four weeks or longer.
Taxpayers have the option to set up direct deposit, allowing their tax refunds to be deposited straight into their bank accounts.
The Bureau of Fiscal Service has a Frequently Asked Questions page on its website dedicated to tax refunds, where taxpayers can enhance their understanding of the refund process and discover best practices.
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How can I track my tax return?
The IRS provides a tool called “Where’s My Refund?” which allows taxpayers to track the status of their returns online.
For those who prefer not to use the Internet, the IRS has a hotline available to assist users in tracking their refunds at 800-829-1954. If you have filed an amended return due to an error, you can reach a different hotline at 866-464-2050.
By providing their Social Security number, tax filing status, and the precise refund amount referenced in the return, taxpayers can access the status of their refund.
The tracking system will display three possible updates: “received return,” “refund approved,” or “refund sent.” If a refund has been approved and sent, it may take up to five days for it to appear in your bank account, or a few weeks for a physical check to arrive.
