IRS Reports Significant Drop in Average Tax Refunds for 2024

Early data reveals a 29% decrease in average tax refunds compared to last year, with taxpayers urged to adjust expectations.

The IRS has announced an average tax refund decrease of 29% for 2024, with early figures showing a drop from $1,963 to $1,395.
Taxpayers are encouraged to utilize the IRS's online tools and resources for filing, amid a push towards digital tax filing.
Special tax relief is provided to Michigan residents affected by severe weather, extending deadlines for various tax obligations.
Despite the decrease, the IRS emphasizes that the filing season has started strongly, with systems operating smoothly.
Experts suggest that the decrease in refunds could be due to factors such as not adjusting withholdings after salary increases or earning more investment income.