If you're counting on your refund this year, start adjusting your expectations.
The child tax credit could end up costing some taxpayers even more: Anyone who received an advanced payment under this credit but didn't actually qualify for it will end up owing the IRS that money back.
"The IRS isn't smart enough to realize or didn't look into the date of birth, so they started dishing out $1,500 to my client through the advanced tax payments," Cyr explained. Now, the IRS will require taxpayers to repay the advanced payment if they were not actually eligible for it. That money will be deducted from your refund—but if it ends up being more than your refund can cover, you'll have to pay the rest back to the IRS directly.
"IRS employees are working hard to deliver a successful 2022 tax season while facing enormous challenges related to the pandemic," IRS Commissionersaid in a statement."There are important steps people can take to ensure they avoid processing delays and get their tax refund as quickly as possible. We urge people to carefully review their taxes for accuracy before filing.
If there are no issues with your tax return, you should receive your refund within 21 days of filing electronically if you choose direct deposit. However, the IRS does note that the law prohibits it from issuing refunds that involve the earned income tax credit or additional child tax credit before mid-February."The law provides this additional time to help the IRS stop fraudulent refunds from being issued," the agency states on its website.
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