Overview
- Average refunds are projected to be about $1,000 higher due to the One Big Beautiful Bill Act and unchanged 2025 withholdings.
- Taxpayer Advocate guidance says refunds filed without valid direct‑deposit details will be temporarily frozen, with a CP53E notice giving roughly 30 days to update information before a paper check is sent after about six weeks.
- By law, refunds that include the Earned Income Tax Credit or Additional Child Tax Credit are held until mid‑February, with most direct‑deposit payouts expected around March 2–3 if no other issues arise.
- A Treasury watchdog warns reduced IRS staffing and rising backlogs—especially nearly 590,000 amended returns—could slow processing and customer service into March and beyond.
- The IRS urges e‑filing with direct deposit for refunds typically issued within about 21 days, as paper checks are being phased out and are far more likely to be lost or delayed.