Every dollar counts, and receiving good news from the IRS nowadays sounds almost miraculous. And yet, that is precisely what is happening this year.
Millions of Americans are seeing significant increases in their tax refunds, and who doesn’t enjoy getting a little extra money? The deadline to file taxes is April 15, and with it, the dreaded tax season ends.
The Internal Revenue Service (IRS) has revealed that this year’s tax refunds are slightly higher than previous years. Why is this happening, and who will benefit? We don’t want you to miss anything, so we’ll tell you everything below!
Who will receive money?
Specifically, people who did not request the Recovery Rebate Credit on their 2021 tax returns. For these people, there is still a chance to recover their money because the agency has activated automatic payments in these cases, eliminating the need for taxpayers to submit any additional paperwork and allowing them to finally recover their money.
How much will these people receive?
This credit allows people to receive up to $1,400 per person and is primarily aimed at those who did not file their 2021 returns. Apparently, a million people have yet to claim their money (because they have not requested it). These individuals have until April 15 to claim it; even those with low or no income may request it if they filed a tax return that year.
What if you also forgot to claim the EIP?
Many people did not claim the Economic Impact Payments (EIP) on their 2020 or 2021 returns. This was a type of stimulus check distributed by the government during the COVID pandemic, as part of an economic aid package designed to stimulate the economy during the country’s health crisis.
For those who did not claim it, the IRS sent three specific notices:
- Form 1444 (First EIP for the year 2020)
- 1444-B (2021 EIP)
- 1444-C (2022 EIP)
If you’re not sure whether you received your full payment, you can check it in your IRS online account under the Economic Impact Payment Information section.
Official refund figures so far
As of March 7, 2025, the IRS had already issued 43.6 million refunds, totaling $145 billion. The average per taxpayer has increased by 5.7% since last year, reaching $3,324 per person, up from $3,145 in 2024. A 5.7% increase may not seem like much, but it is a small boost that low-income families will greatly appreciate, especially given inflation.
What happens if you don’t file on time?
The IRS allows you to request an extension until October 15, 2025, but it will not accept returns filed after that date without applying interest or penalties. That’s why experts (and we) recommend filing as soon as possible, especially if you’re expecting a refund.
What’s going on with the IRS?
The Department of Government Efficiency (DOGE) has cancelled several IRS office lease agreements and limited payments to administrative sections, raising concerns among experts and the public. Delays in refunds may cause additional stress for taxpayers.
So, if we don’t want our refund to be delayed even slightly, we should file our taxes electronically so that they can be processed automatically (otherwise, they must be processed manually, which will take much longer with dozens of offices closed and limited staff).
Don’t be afraid of the IRS anymore; it occasionally brings us good news!
