Your Tax Refund
When it comes to taxes, the first question we are often asked at Jackson Hewitt is, “Will I get a tax refund?” For the majority of our clients, that answer is YES! This good news leads almost immediately to the next question, “How quickly can I get my refund?”
For millions of Americans, your tax refund is the biggest paycheck you’ll receive all year! This means filing your taxes is the most important financial transaction. After 34 tax seasons, our Tax Preparers have some tips on what to do to get the maximum refund you deserve, and to get money early.
Tax Refund Timing
According to the IRS, most refunds are funded within 21 days of filing. This clock starts after the IRS begins processing tax returns for the year. However, this year new provisions included in the Protecting Americans from Tax Hikes Act (or PATH Act) impact certain tax return’s refund timing. For tax returns that contain the Earned Income Tax Credit (EITC) and/or the Additional Child Tax Credit (ACTC), those refunds will begin being funded the week of February 27, 2017. Also, the refund status for those clients may not be available on the IRS.gov website until Feb 15.
Refund Identity Theft
The PATH Act includes provisions to help combat identity theft and protect your tax refund. Last year, identity thieves affected 10 million taxpayers, stealing tax refund dollars from hardworking Americans. The IRS initiated a Security Summit last year to combat SIRF. Along with the new laws, the IRS will exercise new security measures to protect Americans.
Will Your Refund Be Delayed?
In the end, how quickly you receive your tax refund depends on when you file your taxes, how you choose to file, and, now, what credits and deductions you might claim. While refunds including EITC and CTC/ACTC will be funded no earlier than February 15, you will benefit by filing early. You are giving the IRS plenty of time to review your return, verify your EITC and CTC/ACTC eligibility, and W2 authenticity, which is required before your return is in processed. Additionally, filing with a tax professional that efiles, rather than submits a paper return by mail, will also save you time.