Understanding the “Your Tax Return Is Still Being Processed” Message: A Comprehensive Guide

After submitting your tax return, you may encounter the message “Your Tax Return Is Still Being Processed.” This message indicates that the Internal Revenue Service (IRS) has received your return but is still reviewing it. While this can be a nerve-wracking experience, it’s important to understand the reasons behind this message and the potential implications for your refund.

Reasons for Processing Delays

There are several reasons why your tax return may still be being processed:

  • Errors or inconsistencies: The IRS may need to verify certain information on your return, such as your income, deductions, or credits. If there are any discrepancies, the IRS may need to contact you for clarification.

  • Complex returns: Returns that involve multiple income sources, itemized deductions, or business expenses may take longer to process.

  • IRS workload: During peak tax season, the IRS receives a high volume of returns, which can lead to processing delays.

  • Identity verification: The IRS may need to verify your identity to prevent fraud. This can involve sending you a letter or asking you to provide additional documentation.

What to Do If Your Return Is Still Being Processed

If you see the “Your Tax Return Is Still Being Processed” message, here are some steps you can take:

  • Wait patiently: Most returns are processed within 21 days of filing. However, if it’s been more than 21 days and your return is still being processed, you can check the status of your refund using the IRS’s “Where’s My Refund?” tool.

  • Contact the IRS: If you’ve waited more than 21 days and your refund status hasn’t changed, you can contact the IRS by phone or mail. Be prepared to provide your Social Security number, filing status, and the exact amount of your refund.

  • Gather necessary documents: If the IRS requests additional documentation, gather it promptly and send it to the IRS. This can help expedite the processing of your return.

Potential Impact on Refund

The “Your Tax Return Is Still Being Processed” message does not necessarily mean that your refund will be delayed. However, if the IRS detects any errors or inconsistencies on your return, it may delay the release of your refund until the issues are resolved.

Understanding the reasons behind the “Your Tax Return Is Still Being Processed” message can help you navigate the tax filing process with confidence. By following the steps outlined above, you can monitor the status of your return, address any issues promptly, and minimize the potential impact on your refund.

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

FAQ

Why is my 2020 tax return still processing?

As the return is processed, whether it was filed electronically or on paper, it may be delayed due to: Mistakes. Missing information. Suspicious activity referred by banks.

Should I be worried if my refund is still being processed?

Typically, the IRS issues tax refunds in three weeks or 21 calendar days. If your refund is late and the IRS’ Where’s My Refund? tool says “Your return is being processed,” it might be worth a call to the IRS.

Why is my tax return taking longer to process?

It needs further review. It is affected by identity theft or fraud. It was referred to the IRS by the bank due to suspicious activity. It includes an Injured Spouse Allocation form, which could take up to 14 weeks to process.

How long can the IRS hold your refund for processing?

If you file a missing or late return, the IRS will process your returns and issue your refunds (generally within 90 days).

Are You Waiting on a 2020 tax return to be processed?

Waiting on a 2020 tax return to be processed? People whose tax returns from 2020 have not yet been processed should still file their 2021 tax returns by the April due date or request an extension to file. Those filing electronically in this group need their Adjusted Gross Income, or AGI, from their most recent tax return.

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.

Why is my tax refund still being processed?

However, if this message replaces the ‘tax refund is still being processed message’. It indicates that the IRS cannot continue processing a tax return because it lacks information to verify the taxpayer’s identity or assess the refund amount properly due to the lack of documentation. How to Fix the Tax Refund is Still Being Processed Message?

What if my tax return is still being processed?

Consult your accountant, tax, or legal advisor regarding such matters. Sofia Pitt was a reporter for Grow. If the IRS refund tracker says your tax return is still being processed, it might be time for a phone call.

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