Tax Season 2025: What to Expect for Refunds

As the 2025 tax filing season commences, the Internal Revenue Service (IRS) anticipates that approximately 164 million individuals will submit their tax returns by the April 15 deadline. Last year, the average tax refund was reported at $3,167, with projections indicating a potential increase of $1,000 this year due to recent changes in tax legislation. In 2024, over 165 million individual income tax returns were processed, with 94% filed electronically.

Here's when you'll get your tax refund from the IRS

Taxpayers who file electronically can expect to receive their refunds within 21 days or less, while those opting for direct deposit may see their funds even sooner. Conversely, paper returns may take four weeks or longer to process. The IRS advises against relying on specific refund dates, especially for significant purchases or bill payments. Taxpayers can track their refund status using the "Where’s My Refund?" tool, which updates information daily.

Here's when you'll get your tax refund from the IRS

To qualify for a refund, taxpayers must file a return, and they have a three-year window to claim any refunds. Key refundable credits include the Earned Income Tax Credit (EITC) and the Child Tax Credit. For the EITC, eligibility requires an investment income of under $11,950 and specific income thresholds based on marital status and number of dependents. For instance, single filers without children must earn $19,104 or less, while married couples filing jointly with three or more children must have an income of $68,675 or below.

Here's when you'll get your tax refund from the IRS

The Child Tax Credit offers up to $2,200 per qualifying child, provided that the child meets several criteria, including age and residency requirements. Additionally, the Additional Child Tax Credit (ACTC) is available for those with little or no federal income tax liability, requiring a minimum earned income of $2,500 for eligibility.

Here's when you'll get your tax refund from the IRS

This year, the IRS expects that most refunds related to the EITC, Child Tax Credit, and ACTC will be available in bank accounts or on debit cards by March 2 for those who choose direct deposit. Taxpayers are now required to provide their routing and account numbers for direct deposits, as the IRS has begun phasing out paper refund checks in accordance with an executive order issued on September 30.

Here's when you'll get your tax refund from the IRS

Despite the streamlined processes, concerns have been raised regarding the IRS's capacity to handle the influx of filings. The national taxpayer advocate has warned that challenges may arise in the 2026 tax filing season due to a significant reduction in IRS staff, which decreased from approximately 102,000 employees to around 74,000 following layoffs and firings initiated by the Department of Government Efficiency.

Here's when you'll get your tax refund from the IRS

• “The IRS cautions that taxpayers not rely on receiving a refund by a certain date, especially when making major purchases or paying bills.” — IRS Official

Here's when you'll get your tax refund from the IRS

This tax season presents both opportunities for increased refunds and challenges related to IRS staffing, highlighting the importance of understanding eligibility and processing timelines for taxpayers.

Here's when you'll get your tax refund from the IRS