Internal Revenue Service pays 17% more in tax refunds after Republican tax law changes
Updated
Updated · The Wall Street Journal · Apr 24
Internal Revenue Service pays 17% more in tax refunds after Republican tax law changes
10 articles · Updated · The Wall Street Journal · Apr 24
The IRS distributed $296 billion in refunds so far in 2026, up from $253 billion last year, with average refunds rising to $3,275.
The increase is attributed to a Republican tax law that expanded deductions for tips, overtime, state and local taxes, and seniors, retroactive to tax year 2025.
More people received refunds, with recipients up 5% despite flat overall return numbers, and tax payments due are expected to be lower this year.
With tax cuts adding trillions to the debt, what is the long-term cost of today's larger refunds?
Are massive tax refunds a sign of a taxpayer windfall or a flawed tax collection system?
Many new tax breaks expire by 2028. What does this mean for your future tax bills?
Will the new senior tax deduction truly eliminate taxes on Social Security for some retirees?
How can you adjust your 2026 paycheck to avoid giving the government another interest-free loan?
As the IRS phases out paper checks, how secure are the new mandatory electronic tax refunds?