Understanding the IRS Tax Return Processing Status: “Your Return Is Being Processed”

When you file your tax return, you may encounter the status message “Your Return Is Being Processed.” This message indicates that the Internal Revenue Service (IRS) has received your return and is reviewing it. However, it does not necessarily mean that your return has been approved or that you will receive a refund.

Stages of Tax Return Processing

The IRS uses a three-stage process to process tax returns:

  1. Return Received: The IRS has received your return and is beginning the processing stage.
  2. Refund Approved: The IRS has reviewed your return, approved your refund, and determined the refund amount.
  3. Refund Sent: The IRS has issued your refund either by direct deposit or by mailing a check.

What “Your Return Is Being Processed” Means

When you see the message “Your Return Is Being Processed,” it means that your return is in the first stage of processing. The IRS is verifying the information on your return, checking for errors, and calculating your refund (if applicable).

How Long Does Processing Take?

The IRS typically processes most returns within 21 days of filing. However, some returns may take longer to process due to various factors, such as:

  • Errors or incomplete information on the return
  • Suspected identity theft or fraud
  • Need for further review
  • Claiming the Earned Income Tax Credit or Additional Child Tax Credit
  • Filing Form 8379, Injured Spouse Allocation

If you file a paper return, the processing time may be longer. To expedite the process, the IRS strongly recommends e-filing your return and opting for direct deposit of your refund.

Should You Call the IRS?

It’s generally not advisable to call the IRS unless it’s been more than 21 days since you e-filed or the “Where’s My Refund?” tool instructs you to contact them. Calling the IRS prematurely may only delay the processing of your return.

Tips for Speeding Up Your Refund

If you haven’t filed your return yet, consider the following tips to speed up the processing and receipt of your refund:

  • Use e-filing: E-filing is the fastest and most accurate way to file your taxes.
  • Choose direct deposit: Direct deposit is the safest and most convenient way to receive your refund.
  • Avoid errors: Carefully review your return for any errors or omissions before submitting it.
  • Gather all necessary documents: Make sure you have all the required tax documents before you start filing.

What to Do While You Wait for Your Refund

Waiting for a tax refund can be frustrating, especially if you’re counting on it for a specific purpose. Here are some tips for managing your finances while you wait:

  • Create a budget: Track your expenses and income to ensure you can cover essential expenses until your refund arrives.
  • Explore additional income sources: Consider part-time work, freelancing, or selling unwanted items to generate extra income.
  • Seek financial assistance: If you’re facing financial hardship, explore options such as government assistance programs or non-profit organizations that provide financial support.
  • Consider a personal loan: A personal loan can provide you with quick access to funds while you wait for your refund. However, carefully consider the interest rates and repayment terms before taking out a loan.

Understanding the meaning of “Your Return Is Being Processed” can help alleviate anxiety and provide clarity about the status of your tax return. By following the tips outlined above, you can expedite the processing of your return and receive your refund as soon as possible. Remember, patience is key, and most returns are processed within 21 days.

Refund Status: Your Tax Return is Still Being Processed| What to do if it’s more than 21 days?

FAQ

Is being processed the same as approved?

Return Received – The IRS has received your return and it’s being processed. Refund Approved – They’ve processed your return and your refund has been approved. It will also provide an actual refund date. Refund Sent – Your refund has been sent to your bank for direct deposit or a paper check has been mailed.

What does it mean when the IRS says we received and being processed?

This means the IRS has your tax return and is processing it.

What does status being processed mean?

We Have Received Your Tax Refund And It Is Being Processed The IRS systematically releases a set number of direct deposit refunds every week, so a taxpayer’s refund status may show that their return is being processed until it is approved during a future cycle date.

Is still being processed a good thing?

It means your return is being processed. and you have nothing to worry about for now. If you have been waiting for longer than 21 days after your return has been accepted then you can contact the IRS to check the status of your return.

What does it mean when IRS says being processed?

When you check the site you may see a message that reads “Being processed”, which means the IRS must first process your return and then approve your refund. What does it mean when IRS says your refund is being processed 2020?

What is the difference between ‘being processed’ and’still being processed’?

So, if your tax return is being processed, you’ll likely receive your Refund on time, while the still-being-processed message suggests that the Refund is delayed for one reason or the other. Let’s examine the differences between IRS ‘being processed’ vs. ‘still being processed’ more closely and debunk their true meaning.

What does it mean when a tax return is processed?

So you’re checking the status of your return on the IRS website, and see, “Return being processed.” What does this mean? It means that the IRS has received your tax return, and that you don’t need to do anything further. However, that’s not very helpful for someone who might be waiting for a big tax refund.

What does tax refund is being processed mean?

The Tax Refund is Being Processed message will disappear if the IRS detects a problem with a tax return. ‘Your tax return is still being processed. A refund date will be provided when available.’ Although vague, the message implies that the IRS needs over three weeks to issue a refund.

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