- One of the most pressing questions
in the life of an early tax filer
is when can I expect my tax refund to come?
Before e-filing, this was always difficult to predict.
First, you mail in your return
then someone inputs all of your information
and later computer scans the information in.
Then the treasury had to issue a check
which was then mailed to you.
Now with a free IRS e-file, you can get your refund
in as little as eight days when you file
if you elect for direct deposit.
For nine out of 10 taxpayers,
the IRS issued refunds in less than 21 days
from the date the return was received last year.
In today's video, we'll discuss the IRS tax calendar,
when to expect your tax refund,
and other important tax refund topics.
Hey everyone.
This is Andy Hill with The College Investor,
investing in personal finance for millennials.
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Thanks.
Let's talk about the IRS tax refund calendar.
Please note as
of the time of this recording, the IRS has not
announced when it will start accepting tax returns in 2023.
Based on past years and our experience, we are estimating
that the IRS will open e-file on January 23rd, 2023.
However many tax programs do allow you
to file early and some lucky filers even get accepted
into test batches with the IRS.
As a reminder
the current 2023 tax deadline is Tuesday, April 18th, 2023.
April 15th is a Saturday
and Monday is April 17th, which is Emancipation Day.
So the deadline gets moved to the next business day
which is Tuesday, April 18th, 2023.
The IRS does not release a calendar
but continues to issue guidance
that most filers should receive their refund
within about 21 days.
They also remind filers that many tax software programs
allow you to submit your taxes
before the start of tax season.
However, these software programs don't e-file
until the IRS opens the system with a few minor
exceptions for testing.
Also, you are legally allowed to mail
in your 2022 tax return starting on January 1st, 2023.
However, if you mail in your return, you can expect
to add at least 12 weeks to your processing time
at the low end.
Early filers typically see a delay every year.
We're hoping that this will likely not be as much
of an issue this year due to minimal tax code changes
but we could see some tax curve balls.
Remember, Congress passed a law that requires the IRS
to hold all tax refunds that include the earned income tax
credit and the additional child tax credit
until February 15th, 2023 regardless
of how early the tax return was filed.
So if you file on the first day, you might still be waiting
until February 15th for your refund.
The IRS typically provides updates
with direct deposit dates
assuming there are no other problems with the tax returns.
We expect the actual first direct deposits to
arrive the first week of February similar to previous years.
The goal of this is to cut down on fraud and
give the IRS time to ensure no duplicate returns are filed.
The trouble is the IRS will hold your entire tax refund
not just the earned income tax credit
or the advanced child tax credit part, and remember
when you get your refund, don't let it go to waste.
Make sure you put it
in a high yield savings account as soon as possible.
If you're looking to get your tax refund faster,
check out GO2Bank, which allows faster money deposits
from the government, whether tax refunds
or future stimulus checks.
You could potentially receive your government
payment several days earlier than you normally would.
You could learn more about GO2Bank
in our video review on this channel.
Check it out.
Here is a chart of when you can expect your tax refund
based on when your return was accepted based on e-filing.
As you can see, this is an estimate
based on past year's trends, but based on past information
it does seem accurate for about 90% of taxpayers.
Also, as always, you can use the link
in our video description to get your specific refund status.
You can file your 2022 tax return any time
between January 23rd and April 18th, 2023.
Now, what if you file a tax extension in 2023?
If you file a tax extension in 2023
you can extend your tax deadline until October 16th, 2023.
Remember, if you choose to file an extension
you are still required to pay any taxes you may owe
by the April deadline.
If you're expecting a tax refund that doesn't really matter
if you still need to file the claim your refund.
Here's a modified tax refund calendar specifically
for those who filed a tax extension.
We didn't wanna clutter up the other chart from earlier
giving the dates for filing an extension are typically
six months later.
However, the rule of 21 days on average still applies
if you file an extension and claim your refund later.
If for some reason you didn't receive your refund
in the time specified in this chart, give
or take a few days, you can always use
the IRS's tool called Get Refund Status.
We'll have that link in our video description as well.
Once you enter all your information, it will tell you
what's going on with your refund.
Remember, if you input the wrong social security number
it could cause an IRS error code 9001
and might make your return be held
for identity verification, as always, if you're concerned
you can call the IRS directly at +1 800-829-1040.
If you're looking for an old IRS refund chart,
we have the details of those schedules
in our detailed blog article in our video description,
lots of good stuff In our video description
as I keep mentioning.
Let's talk about how to track your refund.
The IRS has multiple ways that you can track
Your tax refund.
The main ways to track your refund are as follows.
The IRS2Go App, the check my refund status online site
or by calling the IRS directly.
Please note the old where's my refund site is now
simply called Check my Refund Status on the IRS webpage.
It's essentially the same tool.
First, it starts with your tax software, tax preparer
or your paper refund.
Once you submit it,
the IRS receives it, to confirm the IRS receives it,
you'll see the accepted message in your tracking software.
All your tax return was accepted
means that it passed a basic test
of having a valid Social Security number
and other important data.
It doesn't mean anything except
that it's in the IRS queue for processing.
Your 21 day average starts from this point in time.
If you filed
before the IRS started accepting e-file submissions
your 21 day processing time starts
from the IRS start date, at the 21 day mark,
you should see either a message
that says approved or take action.
If you're approved, you should have a date
and see your direct deposit
in your account within a few days of that specific date
depending on which bank you have.
If you see a take action message, you may be subject
to a tax offset or other issues that you have
to deal with.
Well enough from our side, everyone, we wanna hear from you
please drop a comment below and share your refund dates
so others know how fast this process is moving this year.
That way we can help each other out.
Thanks for hanging out today.
This is Andy Hill from The College Investor.
We'll see you in the next video.