Average tax refunds up $ 40 for 2019

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The average repayment check was $ 40 more this year than last year for the week ending February 22, according to data released Thursday by the Internal Revenue Service.

This is only 1.3% higher for the approximately 47.4 million Americans whose statements were processed for the most recent week, compared to the same time of the year. last.

Treasury officials believe that a reduction in tax refunds is a good thing
The Treasury Department has come under criticism for a rapid decline in repayments, although the agency has noted that this actually suggests that the retention of individual payroll throughout the year has become more accurate. .

"Most people see the benefits of tax reduction in larger paychecks throughout the year, instead of tax refunds due to the fact that people are paying too much. the government, "said a spokesman for the Ministry of Finance earlier this month.

But many Americans rely on their tax refunds as a boon they use to pay for expensive purchases such as cars, appliances or vacations – a fact the Trump administration has tacitly acknowledged by committing to pay repayments despite the recent partial closure of the government, a reversal of the established practice of the IRS.

In its latest statement, Treasury also said that tax refunds increased by an average of 19 percent, week after week, to reach $ 3,143, against $ 2,640 on average last week. The increase, they said, is due in large part to the balance of earned income tax credits and child tax credits that were paid this week. The two tax credits could not be paid before February 15 under the law, which resulted in larger refund checks for Americans in the last two weeks.

This year's production season, the first under the 2017 tax reform, is under close scrutiny to detect any unexpected impact on individuals. Treasury insisted that the results of the filing period of tax returns vary from week to week and avoid drawing conclusions so early in the season.

The number of returns processed so far by the IRS is still slightly lower at nearly 50 million returns last year.

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