Tax season is here, and while we all want our refunds as quickly as possible, delays can happen. The good news? Many of these delays are preventable! Below, we’ll walk you through the top five reasons refunds get delayed and how you can avoid them to keep your tax season stress-free.
1. Errors on Your Tax Return
Even small mistakes, like typos or math errors, can cause significant delays as the IRS must manually review the return.
How to Avoid It:
- Double-check all personal information, including your name, Social Security number, and bank account details.
- Use tax software that automatically performs calculations to minimize errors.
- Review your return carefully before submitting.
2. Missing or Incomplete Information
Forgetting to include required forms or not answering key questions can result in processing delays.
How to Avoid It:
- Gather all necessary documents (W-2s, 1099s, etc.) before starting your return.
- Use a checklist to ensure you’ve included everything the IRS needs.
- If you’re unsure about something, consult a tax professional or use IRS resources.
3. Claiming Certain Credits
If you’re claiming the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC), your refund may be delayed due to extra fraud-prevention measures.
How to Avoid It:
- Be patient! By law, the IRS cannot issue refunds with these credits before mid-February.
- File early to ensure your return is processed as soon as the IRS begins issuing these refunds.
4. Identity Verification Issues
If your return triggers a security flag, the IRS may need additional verification to confirm your identity.
How to Avoid It:
- Use the same personal information (name, SSN, address) that matches your most recent tax return.
- Respond promptly to any IRS verification requests.
- Set up an IRS online account for faster communication.
5. Mailing a Paper Return
Filing a paper tax return can lead to significant delays due to processing times. E-filed returns are processed much faster than mailed ones.
How to Avoid It:
- E-file your return whenever possible.
- Choose direct deposit for your refund to speed up the process.
- If you must file by mail, double-check that your return is complete and sent to the correct address.
6. Bank Account Errors
If you provide incorrect or incomplete direct deposit information, your refund may be delayed or sent back to the IRS for reprocessing.
How to Avoid It:
- Triple-check your bank account and routing numbers when selecting direct deposit.
- Consider using a secure prepaid debit card if you’re unsure about your banking information.
Don’t Let Refund Delays Stress You Out
While some delays are beyond your control, taking steps to file an accurate and complete return can make a big difference. By following these tips, you’ll be one step closer to receiving your refund without unnecessary headaches.
Have you experienced a refund delay before? Share your story or tips in the comments below! Let’s help each other navigate tax season smoothly.
