The years leading up to 2023 have been outlier years for the United States and the IRS. In this regard, a large portion of U.S. citizens have been able to enjoy a large amount of financial help from the government. This changes now in the year 2023 and that is why the IRS expects to make tax refunds of much lesser amount.
Among other compelling reasons, no stimulus cheques were actually made in 2022. Remember that these stimulus cheques can sometimes influence the IRS tax return. The last stimulus cheques were issued and accepted in 2021, although some of these cheques arrived last year. What’s more, there are even checks still to come.
This is one of the big reasons why citizens will not receive too large a cheque with a tax refund from the IRS. The Internal Revenue Service has stated that this will be the case, so we should not get our hopes up.
Smaller IRS tax refunds
The IRS made a press release last week where it asserted that “Due to tax law changes, such as the elimination of the Advance Child Tax Credit and the lack of Recovery Refund Credit this year for claiming pandemic-related stimulus payments, many taxpayers may find their refunds somewhat lower this year.”
Add to this the direct words of attorney expert Howard Gleckman, who aifmded that “The reason people’s refunds are changing this year is that they no longer take into account stimulus payments and other credits.” So this confirms the theory that stimulus cheques directly influence IRS tax returns.
With this information we should be able to make the best return possible. Remember not to forget any documents and to compute all income that is computable. The IRS has already started receiving tax returns, so you can send yours in as soon as possible.
What is the tax season in 2023?
In order to file for taxes related to 2022, we will have three full months. The tax filing date started last January 23rd. That day was the first day that the IRS opened the deadline to receive tax returns.
The deadline will remain open until April 18. Therefore, we have three months to be able to file this tax return. Leaving it to the end is not a good idea, because if we do our tax return early we will have some advantages.
These potential advantages include receiving a tax refund sooner, if it is due. We will also have more time to be able to pay the taxes due, in case we have to pay taxes. In general, filing an early IRS tax return will help us in every way.