If you haven’t received your IRS tax refund yet, you’re not alone. According to the Taxpayer Advocate Service, as of June 30, 2021 the IRS currently had a backlog of around 35 million returns that require manual processing, which means that an employee has to review them before moving them forward through the processing pipeline.
According to the IRS, COVID-19 related logistical difficulties, combined with the extra work involved in sending over two million stimulus checks this spring and the first round of advance child care tax credits, account for a large percentage of these delays.
But other factors related specifically to your return may also be contributing to the delay.
Generally, those who file relatively simple tax returns tend to receive their refunds faster than those require a less straightforward review. Other reasons your return may not be getting processed quickly may include:
- You filed a printed version of your tax return, rather than filing it electronically.
- Your return was incomplete or had errors.
- You filed for the earned income tax credit or additional child tax credits.
- You itemized deductions, instead of taking the standard deduction.
- You filed for a Recovery Rebate Credit for federal stimulus payments you should have received in 2020 but didn’t.
Checking your refund status
While there’s no way you can speed up the refund process, you can use the IRS’s Where’s My Refund site to check its status. But you’ll want to pull up a copy of your 2020 tax return for reference, because you’ll need to enter the Social Security Number or Tax Identification Number on the form, your tax filing status, and the amount of your refund.
Entering this information will tell you if your return was received and whether your refund was approved and/or sent.
This article was authored by Dan Flanagan and Jeffrey Briskin. Dan is a financial advisor and Partner located at Canby Financial Advisors, 161 Worcester Road, Framingham, MA 01701. He offers securities and advisory services as an Investment Adviser Representative of Commonwealth Financial Network®, Member FINRA/SIPC, a Registered Investment Adviser. He can be reached at 508.598.1082 or firstname.lastname@example.org. Jeffrey Briskin is Director of Marketing at Canby Financial Advisors.
©2021 Canby Financial Advisors