We are already well into tax season, with thousands of taxpayers reporting unusual delays in receiving their refunds. Experts and authorities point to a combination of structural and cyclical factors, with emphasis on staff cuts at the Internal Revenue Service (IRS) and frequent errors in returns. This scenario is extremely problematic for those who depend on these funds for urgent expenses or simply to make adjustments to their home finances.
Returns processing has always been subject to varying deadlines. Electronic declarations are usually resolved in 21 days, while physical declarations take between 4 and 8 weeks as they require manual verification. However, even in optimal cases, errors such as income discrepancies or incorrect Social Security numbers can delay the process for additional weeks.
General reasons behind delays in tax refunds
Returns processing has always been subject to varying deadlines. Electronic declarations are usually resolved in 21 days, while physical declarations take between 4 and 8 weeks as they require manual verification. However, even in optimal cases, errors such as income discrepancies or incorrect Social Security numbers can delay the process for additional weeks.
Another critical factor is the request for complementary documentation. The IRS may request proof for credits such as the EITC or ACTC, extending the deadlines. In addition, the PATH Act requires refunds that include these benefits to be withheld until mid-February, an anti-fraud measure that affects the entire amount returned.
Musk’s DOGE could also be causing delays
By 2025, the situation is complicated by the reduction of up to 7,000 employees at the IRS, according to official figures, although unconfirmed reports speak of 15,000 layoffs. This measure, promoted by the Department of Government Efficiency (managed by Elon Musk), coincides with the peak of the tax season. Vanessa Williams, an expert at the Urban-Brookings Tax Policy Center, warns that operational capacity is “at critical risk.”
Democratic senators have warned that these cuts could “aggravate the financial crisis for vulnerable families,” according to recent statements. The loss of specialized personnel not only slows down initial processing, but also error resolution, generating a domino effect in waiting times.
How to find out where your tax refund is: The IRS has a free tool
Given this scenario, taxpayers have options to expedite their procedures. Filing returns electronically and with direct deposit reduces errors and speeds up deadlines. Thoroughly reviewing data such as reported income and identification documents prevents manual reviews.
The “Where’s My Refund?” tool from the IRS allows you to monitor the status of the refund in real time. Updated daily, it shows three stages: receipt, approval and shipping. For cases with EITC or ACTC credits, the platform offers estimated dates, although subject to change due to external factors.