Now that the April tax deadline has passed, most Americans have either filed their 2024 tax returns or submitted an extension request. The IRS is now busy reviewing returns and issuing refunds.

However, before a refund can be processed, the IRS must first receive and review your return. Due to recent budget and staffing cuts, some delays are expected this year.

Meanwhile, an IRS tax refund is the money the government returns to you if you paid more in taxes throughout the year than you actually owed. This can happen through paycheck withholdings, estimated tax payments, or refundable tax credits. After you file your tax return, the IRS reviews it, calculates what you owe versus what you paid, and if there’s an overpayment, they issue a refund, typically by direct deposit or a mailed check.

If you mailed in a paper return, your wait may be longer than if you filed electronically. The IRS is just beginning to sort and open paper returns, which must be reviewed manually, so expect a slower turnaround for those.

Most taxpayers now file electronically, which is typically faster and more efficient. E-filed returns are processed almost immediately unless they contain issues that require further review. Suppose you have a simple tax situation and steady employment. In that case, the process should go smoothly, especially with the IRS’s new Direct File program, which allows eligible filers to submit straightforward returns directly through the IRS website.

Refund timing depends on how you filed your return. Here’s the current IRS refund timeline based on when and how you submitted your return:

If you filed between May 1 and May 15, 2025:

• Paper return: Refund expected between June 26 and July 10, 2025
• E-file with direct deposit: Refund expected between May 22 and June 4, 2025
• E-file with mailed check: Refund expected between May 29 and June 11, 2025

If you filed between May 16 and May 31, 2025:

• Paper return: Refund expected between July 11 and July 25, 2025
• E-file with direct deposit: Refund expected between June 6 and June 19, 2025
• E-file with mailed check: Refund expected between June 13 and June 26, 2025
  

Average Refund: Around $2,939

The average tax refund this year is approximately $2,939, though many taxpayers can expect to receive close to $3,000. Of course, knowing how much you’ll receive is only helpful if you also know when to expect it.

Even with an estimated schedule, issues like missing information, small errors, or processing delays can slow things down. That’s why it’s important to track your refund status by visiting the IRS website and using the “Where’s My Refund?” tool. It works for both electronic and paper returns.

[Nigerian Tribune]