Internal Revenue Service Reports a 29% Decrease in Average Refund Amount
Internal Revenue Service Smaller Tax Refunds This Year. (PHOTO: USA Today)
Eligibility Criteria for Tax Credits Pushes Refund Distribution to Mid-February
The Internal Revenue Service says people are getting less money back in tax refunds this year compared to last year. On average, it’s about $1,395 now down 29% from last year’s $1,963 according to Fox Business. This worries many folks who rely on this money to buy things, save for retirement, or pay off debt. Some people can’t get their refund until mid-February because of certain tax credits they’re eligible for. Experts think that this year refunds might be bigger, maybe up to 10% more than last year. This is because the Internal Revenue Service changed some tax rules to help out with inflation which is when prices for things go up. It’s a good idea for people to file their taxes as soon as possible so they can get their refund quicker.
READ ALSO: First Stimulus Check In April: $500 Per Month For American Families
Get Refunds Faster by Filing Early
Furthermore, experts suggest that filing taxes early can help speed up the refund process. It’s essential because the Internal Revenue Service doesn’t give any extra money for waiting. The sooner people file the sooner they could get their refund.
READ ALSO: Michigan Earned Income Tax Credit Boosts American Families With $550 Checks
