The question of "how long does it take for TurboTax to give you your money" is one that crosses the minds of millions of taxpayers every year. After painstakingly gathering all your documents and diligently preparing your return, the anticipation for your refund can be palpable. While TurboTax facilitates the filing process, it's crucial to understand that the IRS (Internal Revenue Service) is the entity that actually processes your refund and sends out your money, not TurboTax itself. TurboTax simply acts as the intermediary for submitting your return.
Let's dive deep into the refund timeline, the factors that influence it, and how you can track your money every step of the way.
How Long Does It Take for TurboTax to Give You Your Money? A Step-by-Step Guide
Step 1: Get Ready to File - The First Move is Yours!
So, you're ready to get your money back? Fantastic! The first and most critical step in getting your tax refund processed quickly is to be prepared and file accurately. Before you even open TurboTax, make sure you have all your necessary documents in order. This includes:
W-2 Forms: From all employers.
1099 Forms: For freelance income, interest, dividends, etc.
1098 Forms: For mortgage interest, student loan interest, etc.
Receipts and Records: For deductions and credits you plan to claim.
Previous Year's Tax Return: Often helpful for reference.
Missing information or errors on your return are the leading causes of delays, so double-check everything before hitting that "File" button!
Step 2: File Your Return with TurboTax - Sending Your Information to the IRS
Once you've gathered all your information, you'll use TurboTax to prepare and submit your tax return. This is where TurboTax's role in the refund process begins.
Sub-heading: Choosing Your Filing Method
E-filing (Electronic Filing): This is by far the fastest and most recommended method. When you e-file with TurboTax, your return is transmitted digitally to the IRS. The IRS typically acknowledges receipt of your e-filed return within 24 to 48 hours.
Paper Filing (Mailing Your Return): While TurboTax allows you to print and mail your return, this method significantly extends the refund timeline. Paper returns need to be manually processed by the IRS, which can add several weeks to the overall waiting period.
Sub-heading: The "Accepted" Status
After you submit your return electronically through TurboTax, you'll eventually see a status update from TurboTax indicating that your return has been "Accepted" by the IRS. It's crucial to understand that "Accepted" does not mean your refund is approved or on its way. It simply means the IRS has successfully received your tax return and it has passed initial, very basic checks (like a valid Social Security Number). Think of it as your application successfully landing on their desk.
**Step 3: IRS Processing - The Waiting Game Begins (Mostly) **
Once the IRS "Accepts" your return, the real processing begins. This is where the IRS reviews your return for accuracy, verifies your information, and calculates your refund (or tax due).
Sub-heading: Typical IRS Processing Timeframes
For most e-filed returns with direct deposit, the IRS aims to issue refunds within 21 days of acceptance. This is a general guideline, and many taxpayers receive their refunds even sooner. However, various factors can influence this timeline.
Direct Deposit vs. Paper Check: Opting for direct deposit is significantly faster than receiving a paper check. Paper checks can take an additional 1-2 weeks to be printed and mailed after the IRS processes your refund.
Time of Year Filed: Filing your return early in the tax season (January/February) often leads to faster refunds. If you file closer to the tax deadline (April 15th), or during peak processing times, you might experience slightly longer waits due to higher volume.
Claiming Certain Credits: If your return includes certain refundable credits, such as the Earned Income Tax Credit (EITC) or the Additional Child Tax Credit (ACTC), the IRS is legally required to hold these refunds until mid-February (typically). This is a measure to prevent fraud. So, even if you file early, if you claim these credits, your refund won't be issued until around early March.
Errors or Discrepancies: Any errors, mathematical mistakes, missing information, or discrepancies between your reported income and what the IRS has on file (e.g., from W-2s or 1099s) can trigger a manual review. This will significantly delay your refund, potentially for weeks or even months, as the IRS may send you a letter requesting clarification or additional documentation.
Identity Verification: In some cases, the IRS may flag a return for identity verification due to suspicious activity or if it's the first time you're filing. This also leads to delays.
Outstanding Debts: If you have outstanding federal or state debts (e.g., unpaid taxes, child support, federal student loans), the IRS may offset your refund to cover these debts. This will reduce or completely eliminate your refund, and you'll typically receive a notice explaining the offset.
Step 4: Tracking Your Refund - Where's My Money?
While TurboTax can tell you if your return was accepted, for the most accurate and up-to-date information on your refund status, you need to go directly to the source: the IRS.
Sub-heading: The "Where's My Refund?" Tool
The IRS offers an excellent online tool called "Where's My Refund?" (WMR). This is your go-to resource for tracking your federal refund.
To use it, you'll need three pieces of information from your tax return:
Your Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN).
Your Filing Status (e.g., Single, Married Filing Jointly, Head of Household).
The exact amount of your Federal Tax Refund.
You can usually start checking the status of your refund within 24 hours after your e-filed return has been accepted by the IRS. The IRS updates this information once a day, usually overnight.
Sub-heading: Understanding WMR Statuses
The "Where's My Refund?" tool will typically show you one of three statuses:
Return Received: This means the IRS has your return and is processing it. This is the stage after "Accepted."
Refund Approved: This is great news! It means the IRS has processed your return, approved your refund, and is preparing to send it. The WMR tool will also provide an estimated direct deposit date.
Refund Sent: This indicates that your refund has been sent to your bank (for direct deposit) or a check has been mailed.
Step 5: Receiving Your Money - The Final Destination
This is the moment you've been waiting for!
Sub-heading: Direct Deposit
If you chose direct deposit, once the IRS sends your refund, it typically takes 1 to 5 business days for the funds to appear in your bank account. The exact timing can depend on your bank's processing procedures. Some banks may make funds available sooner.
Sub-heading: Paper Check
If you opted for a paper check, it will be mailed to the address on your tax return. Allow 2 to 3 weeks for the check to arrive in the mail after the IRS shows a "Refund Sent" status.
Sub-heading: TurboTax's "Up to 5 Days Early" Option
TurboTax offers a feature that allows some taxpayers to potentially receive their federal refund up to 5 days earlier than the official IRS deposit date. This is an optional service and usually comes with a fee deducted from your refund.
How it works: If you opt for this and the IRS provides TurboTax with your refund information and planned deposit date at least 5 days in advance, TurboTax (or its financial partners) can essentially advance you the money before the IRS officially deposits it. It's important to note that this is dependent on the IRS providing that early information, and not all refunds are eligible or receive this early notification from the IRS. If your refund doesn't arrive at least one day early, the fee is typically refunded.
Factors That Can Delay Your Refund (Beyond TurboTax's Control)
As we've touched upon, several things can slow down the refund process, and these are largely related to the IRS, not TurboTax:
Filing a Paper Return: As mentioned, these take significantly longer to process (4-8 weeks, sometimes more).
Errors on Your Return: Mismatched information, mathematical errors, or incomplete forms.
Claiming EITC or ACTC: Refunds for these credits are held until mid-February by law.
Identity Theft or Fraud Concerns: If the IRS suspects identity theft or fraud, your return will be held for review.
Amended Returns (Form 1040-X): Amended returns take significantly longer to process, typically 8 to 12 weeks or more, and often need to be mailed.
Offset for Debts: If your refund is used to pay off outstanding federal or state debts.
Response to IRS Notices: If the IRS sends you a letter requesting more information, your refund will be on hold until you respond and they process your response.
High Volume Periods: Filing during the busiest times of the tax season (mid-March to April 15th) can lead to slightly longer processing times.
10 Related FAQ Questions (How To's) with Quick Answers
How to Check Your Federal Tax Refund Status?
Visit the IRS "Where's My Refund?" tool online or download the IRS2Go mobile app. You'll need your SSN/ITIN, filing status, and exact refund amount.
How to Check Your State Tax Refund Status?
Most states have their own "Where's My Refund?" tool or similar service on their Department of Revenue or taxation website. Search for "[Your State Name] tax refund status."
How to Get Your Tax Refund Faster?
E-file your return and choose direct deposit. File early in the tax season, if possible. Ensure your return is accurate to avoid processing delays.
How to Tell if TurboTax Has Submitted Your Return?
Log in to your TurboTax account. Your filing status will show as "E-filed" or "Transmitted." You'll also receive an email confirmation from TurboTax when it's sent.
How to Know if the IRS Has Accepted Your Return?
TurboTax will update its status to "Accepted," and you should also receive an email confirmation directly from the IRS. You can also check the IRS "Where's My Refund?" tool.
How to Fix Incorrect Direct Deposit Information on Your Tax Return?
If you entered an invalid bank account number, the IRS will typically mail you a paper check instead. If you entered a valid account number that isn't yours, banks generally won't accept a tax refund deposit if the names on the account don't match. Contact the IRS directly as soon as possible (though it's often too late once the refund is sent).
How to Get an Early Refund from TurboTax?
TurboTax offers an "up to 5 Days Early" direct deposit option for a fee. Select this during the filing process. Note that eligibility and actual early receipt depend on the IRS's timing.
How to Contact the IRS About a Delayed Refund?
First, check the "Where's My Refund?" tool. If it's been longer than 21 days for e-filed returns (or 6-8 weeks for paper returns) and the tool doesn't provide a specific reason for delay, you can call the IRS Taxpayer Assistance Line at 1-800-829-1040.
How to Prevent Tax Refund Delays?
File electronically, opt for direct deposit, double-check all information for accuracy (especially SSNs and refund amounts), and respond promptly to any IRS notices.
How to Track an Amended Tax Return Refund?
Amended returns (Form 1040-X) have their own tracking tool on the IRS website called "Where's My Amended Return?" It can take 8-12 weeks or more for amended returns to process.
