Tax refund: The IRS debunks common myths
The July 15 tax deadline has come and go, and the Internal Revenue Service (IRS) has reminded all taxpayers that there is no secret way to find out when a refund will be issued.
Even though some filers have received their refunds, the IRS says that those that haven’t received them should not set specific dates for themselves. It says that refund timelines vary. Having said that, the IRS wants taxpayers to know the following;
- The impact of COVID-19 on IRS staffing means that electronic filers that use direct deposit can expect their refund faster than those who mail a paper return.
- Taxpayers can easily check on their refund using Where’s My Refund? This is available both on the IRS website and the IRS2Go mobile app.
- After receiving your e-file acceptance notification, you can check your tax refund’s status within 24 hours, and,
- “Where’s My Refund?” is updated once a day, usually overnight.
Having said the above, the IRS insists that it processes paper returns according to the order they are received. Therefore, taxpayers must not allow common refund myths to affect them while waiting. Below are some of the refund myths that usually make rounds;
- A refund this year means that no need to adjust withholding for 2020. That’s not true, always use the Tax Withholding Estimator to adjust to the right amount to avoid paying too much, or too little withholding.
- Calling the IRS or a tax professional will provide a better refund date. This is simply untrue, the IRS recommends that you just wait.
- Ordering a tax transcript is a secret way to get a refund date.
- The Where’s My Refund? tool is wrong because there’s no deposit date yet. Again, this is not true because as long as it says tax return status ‘received’, it means your application has been received.
Lastly, even if your expected return is not what you end up getting, it does not mean that something is wrong because many reasons lead to that. Nevertheless, do not hesitate to speak to us for more information on tax filing.