You may get a pleasant surprise from Uncle Sam this spring: A bigger-than-usual tax refund. Experts are projecting that this year may set records for refunds, both in the number issued and in the average amount returned. That's because the One Big Beautiful Bill Act, which passed last summer, included several retroactive tax changes for the 2025 tax year, such as a higher standard deduction, a higher cap on property-tax deductions and an extra deduction for most taxpayers 65 and older.
But the IRS never updated the withholding tables used to determine how much tax to take out of your paycheck and other income throughout the year.
