IRS Delays Refunds For Certain Taxpayers — Here’s How To Get Yours Faster

Every year, IRS fraud filters flag millions of refunds for review — including those that are perfectly legitimate, according to the Taxpayer Advocate Service.

Although most are released after confirmation of identity or clarification of data or other tax information, it can still be frustrating to undergo the process.

To make sure your refund doesn’t get delayed, follow these tips.

Last updated: April 7, 2023.

Consider hiring a tax pro to ensure your taxes are filed correctly.

“While most of the complications inherent in dealing with IRS can be avoided by taking the time to double- and triple-check your returns before filing, unless you just have one W-2 and no deductions to claim, your best bet may be to hire an expert,” said tax accountant Paul Miller of Miller & Company, LLP. “The investment usually pays off in a bigger return too.”

If you do decide to hire a tax professional, don’t wait until the last minute.

“Tax professionals head into overdrive for the months leading up to the deadline,” Miller said. “Call your tax accountant early to make that important appointment, or at least drop your paperwork off early to put you in the queue of your favorite CPA. [This] results in faster filing and getting ahold of that important tax refund quicker.”

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If you don’t opt to hire a tax professional, consider using an online program to cut down on the possibility of errors. When you are manually entering numbers on your tax form, it can be easy to put a number on the wrong line. This can lead to incorrect calculations and a delay in your refund.

“One way to mitigate inserting numbers on an incorrect line is to complete the tax form using an online program,” said Daniel R. Hill, CFP, president and CEO of Hill Wealth Strategies in Richmond, Virginia. “As I share with my clients, typically, these programs will alert you when a number seems inconsistent with other numbers already entered or with numbers you inserted last year. These programs will help you provide accurate information. Additionally, using an online program will keep you abreast of the most current tax law changes for the current year. This way, you can file an accurate tax return knowing the online program double-checked information and applied the current year’s tax updates.”

An accurate filing leads to a speedier return.

“Ensure all personal information, such as your name, address, email and Social Security number are correct,” Hill said.

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“For many taxpayers, the challenge is getting credits right on your return,” said Megan Gorman, managing partner at Chequers Financial Management. “This can often slow down a refund if the information for earned income credits, the child tax credit or education credits are entered incorrectly.”

Double-check that the information you enter for any tax credit is accurate.

Your employer sends a copy of your W-2 directly to the IRS, so if the wages you report don’t match what’s on the form, your refund could be delayed as the IRS waits to get an explanation. This is typically simply a data-entry error, so make sure you put in your wage information correctly.

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“If you have an error on a Social Security number of a dependent [it] can slow down processing,” Gorman said. “The Social Security error can be common. If the numbers get entered incorrectly, it will slow down your refund.”

Before filing, make sure that you have chosen the correct filing status on the tax return form.

“While it seems fairly simple, you need to commit to one filing status box, even though two or more boxes may be applicable,” Hill said. “An incorrect filing status can delay a refund or potentially require you to provide additional documentation of the indicated filing status box.”

Only one parent can claim each child as a dependent, so coordinate with an ex beforehand to determine who will claim the child. If you both claim the child as a dependent and your ex files their claim first, your return will not be accepted by the IRS. This can cause delays in your refund.

Taxes are due by April 18, but there’s no need to wait until then to file your taxes if you can file them earlier.

“The earlier you file, the more time you have to correct errors and the better chance you have of beating the scammers,” Miller said. “Check your math and all your entries to ensure everything is in the proper place and right order.”

“If the option is available, electronically file your income tax returns,” said Ana del Cerro-Fals, tax partner at BDO USA, LLP.

To get your refund even faster, opt to have the refund directly deposited into your bank account. According to the IRS, “filing electronically and choosing direct deposit remains the fastest and safest way to file an accurate income tax return and receive a refund.”

Filing electronically and getting your return via direct deposit is the fastest way to get your return — but if the direct deposit information you file is incorrect, this will cause unnecessary delays.

“Remember to include the correct direct deposit information on your tax return,” said Judith Corprew, executive vice president, chief compliance and risk officer at Patriot Bank, N.A. “If any of the numbers — either the routing number or the account number — are incorrect even by a single digit, it could result in a delay.”

Some taxpayers will need to file paper returns because they need to include attachments. If this is the case for you, Miller said to follow these steps:

• Sign and date the forms.
• Use the right tax tables to calculate your tax.
• Fill in all required information.
• Attach all the necessary schedules and forms.
• Mail your return to the correct address.

“A late tax return could also result in delays,” Corprew said.

If you haven’t gotten started on your return, there’s no better time than now.