topic Re refunds slow this year in Get your taxes done using TurboTax

Re refunds slow this year

kelly655 — Mon, 01 Mar 2021 19:58:32 GMT

Re: Re refunds slow this year

HelenC12 — Mon, 01 Mar 2021 21:26:13 GMT

If your refund is low this year it means that the way you filled out your W-4 form gave you more money in your pocket throughout the year versus the government keeping it (saving it) and giving you a larger refund at the end of the year.

The situations below are some of the most common reasons why you might be getting less of a refund. For example:

Did you receive unemployment benefits, but didn’t have taxes withheld?
Did you earn little or no income, so you didn’t qualify for the Earned Income Credit (unfortunately, unemployment doesn’t count as earned income)?
Did you complete a 2021 W-4, which more closely matches your tax liability (amount of taxes you paid)?
Did you sell stock?
Did you take an early withdrawal from your retirement account?
Did you pay less tuition due to school closures, so you can’t deduct as much?

To maximize your refund next year, invest, and/or pay taxes you might owe, consider some of these options:

Fill out a new form W-4 to increase the amount of withholdings for a higher refund next year; or
Instead of withholding more, put that same amount into a savings account, an IRA, or other tax-sheltered vehicle
If you can’t pay taxes you owe for unemployment benefits in full, the IRS offers alternate payment options. If you’ve already filed, you can complete an Online Payment Agreement application or request a payment plan by phone at 800-829-1040
If your refund is wildly off, double check the amounts you input (a dollar amount mistype can have a big impact on your refund)

Here are some other possible reasons for a year-over-year refund decrease:

Re: Re refunds slow this year

T___oT_x for Mac User — Thu, 11 Mar 2021 16:54:47 GMT

The "answer" is unresponsive, as the QUESTION is NOT regarding LOW refunds, but SLOW refunds--and I suspect many people would LIKE a more responsive answer by now. I know I would.

Re: Re refunds slow this year

Cynthiad66 — Thu, 11 Mar 2021 22:00:50 GMT

IRS processing might appear to be slow this year because they have monumental tasks of handling tax returns and mail, issuing refunds, issuing Stimulus checks, creating new tax forms based on the new laws in the CARES ACT, programming changes, preparing the system to issue the 3rd Stimulus among other things.

Refunds are issued by the IRS and State agencies. TurboTax is self-preparing tax platform. Once returns are submitted from TurboTax to IRS, TurboTax is out of the picture and are not updated about refunds or any changes to customer information because of privacy.