“Return Received” Status – What Happens Next?

You filed your tax return and checked the IRS “Where’s My Refund” tool. It says “Return Received” with one bar filled. What does this actually mean, and when will your refund be approved?

What “Return Received” Means:

• The IRS has successfully received your electronically filed tax return
• Your return has passed initial validation checks
• The IRS has assigned your return to a processing queue
• This is the FIRST of three stages in the refund process
• E-filed returns typically show this status within 24-48 hours of acceptance
• Paper-filed returns take 4-6 weeks to reach this status

The Three-Bar System Explained:

1. Bar 1 – Return Received: IRS has your return
2. Bar 2 – Refund Approved: IRS has processed and approved your refund
3. Bar 3 – Refund Sent: Money has been sent to your bank or mailed

Timeline: What Happens During “Return Received”:

• Days 1-7: Return enters processing queue
• Days 7-14: IRS computers check for math errors, verify income against W-2s/1099s
• Days 14-21: Final approval processes, refund amount confirmed
• Day 21: Status should update to “Refund Approved” (if no issues)

Why You Might Be Stuck on “Return Received”:

• Your return is complex (multiple income sources, itemized deductions)
• PATH Act hold (EITC/Additional Child Tax Credit filers – held until mid-February)
• IRS needs to verify income documents
• Potential fraud screening (automatic, not your fault)
• Simple processing backlog during peak season (Feb-March)

What the Exact Message Says: “We have received your tax return and it is being processed.”

What to Do While Waiting:

• Check WMR once daily (it updates overnight, usually between 6 AM – 6 PM EST)
• Don’t call the IRS before 21 days have passed
• Check your IRS transcript for more detailed information (may update before WMR)
• Make sure your bank account information is correct
• Be patient – the majority of refunds are issued within 21 days

When to Worry:

• After 21 days with no status change
• If you receive an IRS letter (respond immediately)
• If status disappears from WMR tool
• If you see “Take Action” message appear

Tips:

• Your IRS transcript may show Code 846 (refund date) before WMR updates to “Approved”
• WMR updates once per day, checking multiple times won’t change anything
• Most refunds are approved and sent within the 21-day window
• E-file + Direct Deposit = fastest processing

Once the IRS completes processing, your status will update to “Refund Approved” with an estimated direct deposit date or check mailing date.