The Internal Revenue Service (IRS) has reported that tax refunds are higher this year compared to the previous year, marking a significant shift from 2023 when the average taxpayer saw a 3% decrease in their refunds due to the expiration of pandemic tax benefits. This increase in refunds is seen as a potential financial relief for Americans, allowing them to pay down debt, start an emergency fund, or manage rising costs more effectively. Additionally, record high inflation has led to larger annual increases in Social Security benefits, which could result in larger tax bills for some. The IRS has yet to disclose the average refund amount.
The bigger average refund marks a reversal from the dip that the typical taxpayer experienced in 2023, when refunds were 3% lower due to the expiration of pandemic tax benefits. https://t.co/3VM8KHLRpD
Tax refunds are higher so far this year, the IRS says. Here's the average refund amount 👇 https://t.co/AsZrRagL8W
Tax refunds are higher so far this year, the IRS says. Here's the average refund amount. https://t.co/cTq40KJGjI
The IRS said it's issuing bigger tax refunds compared with a year earlier, signalling a potential boon for Americans who rely on their annual refund to help pay down debt, start an emergency fund or deal with rising costs. https://t.co/DIn1sgFNdR
Record high inflation prompted bigger annual increases to Social Security benefits. But that also may come with bigger tax bills. https://t.co/FCXcTAjt6w