If you are claiming the Earned Income Credit (EIC) or the Additional Child Tax Credit (ACTC), your refund will be delayed until after February 15, 2017.
Part of the Protecting Americans from Tax Hikes (PATH) Act of 2015 requires the IRS to allow more time to review returns with these credits and verify information, including but not limited to:
- Social Security Number(s)
- Names (must match the Social Security Database)
- Historical information (did taxpayer claim the same individuals in prior years)
Anyone claiming these credits should note the IRS has cautioned taxpayers not to expect their refunds until at least the week of February 27, 2017. Also the delay applies to your entire refund, not only the portions associated with the EIC and/or the ACTC.
If you are expecting a refund including either or both of these credits, you should take the delay into account especially if you normally use your refund to pay bills, make a major purchase, etc. You can check the status of your federal refund online here.
Some tax changes (including the delays mentioned above) can be seen below:
Thoughts or questions? Please let me know using the form below.
Thomas C. Hodge
Hodge Group LLC
3943 N. Austin Avenue
Chicago, IL 60634