Tax refund warning signs are flashing for millions of Americans filing early in 2026. The Internal Revenue Service says refunds will be delayed for taxpayers claiming certain credits. In many cases, refunds will not arrive until at least March.
Why the IRS is delaying tax refunds
The IRS confirms that refunds tied to two major credits are subject to mandatory delays:
- Earned Income Tax Credit (EITC)
- Additional Child Tax Credit (ACTC)
The delay stems from the PATH Act of 2015. That law prevents the IRS from issuing refunds with these credits before mid-February.
The goal is fraud prevention. The IRS uses extra time to verify income and identity before releasing funds.
When refunds could actually arrive
For taxpayers claiming EITC or ACTC:
- Refunds will not be issued before March 2, 2026
- Direct deposit is required for the earliest possible date
- Paper checks may take longer
The IRS says its “Where’s My Refund” tool will show projected deposit dates by Feb. 21.
Who is affected by the delay
The EITC is designed for low- to moderate-income workers. Eligibility depends on income, filing status, and family size.
Key facts:
- About 23.5 million households claimed EITC last year
- Total payouts topped $68.5 billion
- The average refund was about $2,916
The ACTC applies to families who qualify for the Child Tax Credit but owe too little tax to claim it fully.
Refund delays apply to the entire amount
Financial experts stress the delay applies to the full refund, not just the credit portion. If a return includes EITC or ACTC, the entire refund is held.
This applies even if no errors are found.
New bank information rule adds another risk
A separate IRS change could slow refunds even more. Taxpayers filing 2025 returns must now provide:
- Bank account number
- Routing number
Without that information, the IRS may freeze refunds until direct-deposit details are submitted or a paper check is requested.
Incorrect banking details can also trigger weeks-long delays.
Who is exempt from the bank rule
The IRS says some taxpayers will still receive paper checks automatically, including:
- International filers
- Minors
- Prisoners
- Certain religious objectors
- Estates of deceased taxpayers
For most filers, direct deposit is now the default.
How to avoid refund delays
The IRS recommends:
- Filing electronically
- Choosing direct deposit
- Double-checking bank information
- Using the IRS “Where’s My Refund” tool
Taxpayers can also split refunds into multiple accounts.
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