Tax season has begun, and it can be a real headache for millions of taxpayers who are dealing with all those numbers bouncing around on their returns. If you’ve already submitted your paperwork, you’re probably waiting for the IRS to send you your long-awaited refund, but not all news is good.
Don’t get your hopes up. There are several reasons why that refund may go up in smoke. Remember that the Internal Revenue Service (IRS) does not forget any money you owe them.
If you owe federal taxes from previous years, don’t expect a refund. They will require you to pay what you owe before you can proceed to the next tax year and claim refunds.
Why might your wallet stay empty? The IRS doesn’t give away money out of thin air.
Working on your own (as a freelancer, entrepreneur, etc.) makes things very complicated. Because you don’t have a boss withholding taxes from you, you must pay estimates every three months.
If you skipped that, be prepared: at the end of the year, instead of receiving, you will have to give up more money. And goodbye, dream refund!
Did you work three different jobs this year? Take care, buddy. If the withholdings were not calculated correctly in each job, you may become angry when you make the declaration: you will owe more than you thought and your refund will be lost. It’s like juggling numbers with no safety net.
Take care when dealing with family themes. If you owe months of child support, the IRS will not hesitate to take your refund to catch up. Not only that, but if you owe the state money (local taxes or unpaid unemployment compensation), they can scan your wool.
Here’s a random fact: it’s rumored that they want to eliminate paper checks in order to save $750 million per year. If that happens, you’ll have to use direct deposit as your payment method.
Where’s my refund? Your check may be as big as $3,100
If you’re checking your account every five minutes, the IRS now offers a “Where’s My Refund?” tool. Go to their page, enter your information, and that’s it: it tells you whether your money is on its way, we’ll see, or if there was an issue.
Based on historical data and recent trends, average IRS tax refunds in 2025 are expected to be around $3,100. The final average is expected to be similar to $3,138 in 2024, but it may vary depending on economic and legal changes.
