The 2024 tax season has brought its fair share of challenges, with the IRS facing unprecedented delays due to a combination of staffing shortages, outdated technology, and an overwhelming influx of returns. For millions of Americans relying on the Earned Income Tax Credit (EITC) and other refundable credits, these delays are more than just an inconvenience—they’re a financial lifeline. If you’re waiting for your refund, here’s what you need to know about tracking it and navigating this frustrating situation.
The IRS has been underfunded for years, leading to a backlog of unprocessed returns. While recent funding boosts from the Inflation Reduction Act have helped, hiring and training new employees takes time. The agency is still playing catch-up from previous years’ delays.
With tax fraud on the rise, the IRS has implemented stricter verification processes, particularly for EITC and Child Tax Credit claims. While necessary, these checks slow down refund processing.
Congress made late adjustments to certain tax credits, forcing the IRS to update its systems mid-season. If your return includes these credits, your refund may take longer to process.
If you filed a paper return, expect significant delays. The IRS is still digitizing millions of backlogged paper filings from previous years.
The fastest way to track your refund is through the IRS "Where’s My Refund?" tool (IRS.gov/refunds). You’ll need:
- Your Social Security Number (or ITIN)
- Your filing status (Single, Married Filing Jointly, etc.)
- The exact refund amount listed on your return
Note: The tool updates once daily, usually overnight, so checking multiple times a day won’t give you new information.
The IRS now offers email and text alerts for refund status changes. You can opt in when using the "Where’s My Refund?" tool.
If it’s been more than 21 days since your e-filed return was accepted (or 6+ months for paper), call the IRS at 1-800-829-1040. Be prepared for long wait times—early mornings or late evenings may yield shorter hold times.
Common mistakes that trigger delays:
- Incorrect bank account numbers for direct deposit
- Math errors or mismatched income reporting
- Missing signatures or forms
If you were counting on your refund to pay bills and it’s delayed, the IRS offers short-term (120-day) or long-term payment plans for taxes owed.
If the IRS suspects fraud, they may send you a Letter 5071C or 4883C to verify your identity. Respond immediately to avoid further delays.
Many nonprofits and local governments offer short-term aid for those waiting on tax refunds. Look into:
- United Way’s MyFreeTaxes program
- Local food banks and utility assistance programs
For low-to-moderate-income families, the EITC is one of the most powerful anti-poverty tools in the U.S. A delayed refund can mean:
- Missed rent or mortgage payments
- Unpaid medical bills
- Difficulty affording groceries or childcare
Advocates are pushing for systemic reforms, including:
- Modernizing IRS technology to speed up processing
- Expanding free e-file options to reduce paper returns
- Increasing EITC amounts to keep up with inflation
While the IRS delays are frustrating, staying informed and taking action can help ease the stress. Keep checking your refund status, correct any errors quickly, and explore backup resources if needed.
For real-time updates, follow the IRS on social media (@IRSnews) or bookmark their "IRS Operations During COVID-19" page for the latest processing timelines.
Remember: Your refund is coming—it’s just moving at the speed of government.
Copyright Statement:
Author: Credit Agencies
Link: https://creditagencies.github.io/blog/2024-eitc-and-irs-delays-how-to-track-your-refund-2422.htm
Source: Credit Agencies
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