As tax season is in full swing, Americans are noticing a difference in the size of their tax refunds compared to last year. According to the Internal Revenue Service (IRS), the average tax refund issued through February 2, 2024, amounted to $1,395. This is significantly lower than the average refund of $1,963 during the same period in 2023.
Before jumping to conclusions, it's important to consider a few factors. This year, the tax season started a week later, on January 29, compared to January 23 in the previous year. As a result, the IRS has only processed 2.6 million refunds by February 2, 2024, compared to nearly 8 million during the same period in 2023.
