Tax Refunds Hit $125 Bn

The IRS has issued nearly 40 million tax refunds worth almost $125 billion for this season as of February 20. The average refund is $3,120.

Altogether, the IRS has processed almost 50 million returns, or about a third of the total individual federal income tax returns the agency expects to receive this year. Almost 83% of those returns resulted in refunds.

More than 92% of refunds have been direct deposited into taxpayer accounts.

The “Where’s My Refund?” link on IRS.gov has so far generated more than 100 million hits, Commissioner John Koskinen recently told the Tax Section of the New York Bar Association, adding that despite cuts to the IRS budget, the filing season seems off to a smooth start.

Taxpayers visited the online tools and resources on IRS.gov almost 160 million times so far this year, the service added.

Around this time last year, the IRS had processed almost all of 49.6 million returns received and had issued about the same number of refunds as this season. The average refund last year at this time was $3,116.