Why Early Filing Doesn’t Mean Early Refund When Claiming These Credits

Every year, early filers see “Accepted” and “Processing” messages in January and get hopeful — believing their refunds will soon be released. But if you claim the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC), your refund is automatically held until after February 15, no matter how early you file.

This delay isn’t a glitch, IRS backlog, or timing issue.
It is the law — specifically The PATH Act of 2015.

The PATH Act Is Permanent — Not Temporary

The Protecting Americans from Tax Hikes (PATH) Act was passed to prevent fraudulent early refund claims, especially involving children and dependent credits.

It mandates that:

The IRS cannot release refunds which include EITC or ACTC until February 15.

Not “usually.”
Not “typically.”
Legally cannot.

This restriction remains in effect every tax season and applies to all taxpayers claiming these credits — regardless of:

• filing method
• income
• dependents
• tax year
• tax software

What Happens During the Hold Period

Between late January and February 15, the IRS uses the time to:

• validate dependent SSNs
• confirm relationship qualifications
• verify income claims
• detect duplicate returns
• prevent refund identity theft
• cross-match employer-reported wages via W-2s

This fraud-prevention window is now built into the system.

What You’ll See on Where’s My Refund (WMR)

While the PATH hold is active, WMR may show:

• “Your return is still being processed”
• Generic updates
• No specific refund date
• No deposit estimate

You will NOT see:

• “Refund approved”
• A direct deposit date
• TC 846 issued

until AFTER the hold expires.

What You’ll See on Your Transcript

Expect:

• TC 150 — Return Filed
• Possibly TC 570 — Refund Hold
• No TC 846 until after mid-February

Once clearance occurs:

• TC 571/572 — Hold Removed (in some cases)
  then
• TC 846 — Refund Issued

Filing Early STILL Helps — Just Not With Refund Speed

Many taxpayers ask:

“Then why file in January if I won’t get my refund until after February 15?”

Because:

• You confirm your place in processing
• You beat the identity theft window
• Your verification is completed earlier
• Your refund releases rapidly after Feb 15

Typically, first disbursements for EITC/ACTC refunds begin posting Feb 16–27.

Calling the IRS Will Not Change the Date

Many frustrated filers attempt to:

• call IRS support
• open cases with Taxpayer Advocate
• request exceptions
• argue financial hardship

But the PATH Act prohibits the IRS from releasing funds early.

This is legal enforcement — not discretionary.

Who This Applies To

You are affected if you claim:

• Earned Income Tax Credit (EITC)
• Additional Child Tax Credit (ACTC)
• Refundable portions of these credits

You are NOT affected if you claim:

• Child Tax Credit (non-refundable portion only)
• Standard deduction adjustments
• Retirement contributions
• Other non-refundable credits

Only refundable child and income credits trigger the PATH delay.

If you claim EITC or ACTC:

• Your refund WILL be delayed until after February 15
• The IRS legally cannot release it earlier
• Filing early does not speed up payment before the 15th
• Transcript and WMR inactivity before February is normal

The wait is built into the tax code and is non-negotiable.

So if you’re filing with refundable credits, expect to wait until mid-February — and don’t panic when WMR stays silent for weeks.