The 2026 tax season is shaping up to be one of the most eventful in recent years, thanks to sweeping changes from the One Big Beautiful Bill Act (OBBBA) and a host of new IRS procedures. As the Internal Revenue Service began accepting returns on January 26, 2026, millions of Americans found themselves navigating a landscape dotted with new deductions, credits, and a few potential pitfalls. But for many, the most pressing question remains: when will the refunds arrive, and just how much larger will they be this year?
According to early data from the IRS, the average tax refund as of February 6, 2026, stands at $2,290—a notable 10.9 percent increase from $2,065 on February 7, 2025. This uptick isn’t just a statistical blip; it reflects both the new tax cuts for 2025 that weren’t reflected in IRS withholding tables and the expanded deductions under OBBBA. As a result, many taxpayers are seeing bigger refunds, having been over-withheld during the year. The IRS has already refunded $16.95 billion to taxpayers as of February 7, compared to $16.64 billion at the same point last year.
But before anyone starts planning a lavish vacation or a major purchase, tax professionals and the IRS alike are sounding a note of caution: small mistakes can lead to big delays. As reported by Nexstar Media, the IRS warned on February 17, 2026, that common errors—ranging from filing too early to mistyping a Social Security number—could slow down refund payouts. "The e-file system often detects common errors and rejects a tax return, sending it back to the taxpayer for correction. This could reduce or eliminate delays in processing a federal tax return," the agency noted. Filing online is strongly encouraged, as it helps catch these mistakes before they become a problem.
One of the biggest changes for 2026 is the shift to mandatory direct deposit for refunds. According to CPA Practice Advisor, the IRS will no longer issue paper refund checks. For those without a traditional bank account, prepaid debit cards are an option, but taxpayers should be wary of potential fees. The move is intended to speed up the refund process and reduce administrative overhead, but it also means that accurate banking information is more important than ever. If you enter the wrong account number, your refund could end up in limbo.
For those eager to see their refund hit their account, the timing depends on several factors. The IRS typically processes e-filed returns within 10 to 21 days, and the earliest direct deposits for 2026 could be seen as soon as February 6 for those who filed right at the start of the season. However, returns claiming the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC) are held until after mid-February, a legal requirement to allow the IRS time to verify eligibility. As a result, refund sizes usually rise later in the month as these returns are processed.
There are also practical steps taxpayers can take to avoid delays. The IRS recommends confirming that all necessary forms—such as W-2s and 1099-Ks—have been received before filing. Changes in life circumstances, like marriage or divorce, may affect filing status, so it’s wise to double-check using the IRS’s online tools or through a tax professional. Simple errors, like misspelled names or incorrect Social Security numbers, continue to trip up filers year after year. And for those who have changed their name since last filing, updating information with the Social Security Administration is a must.
The OBBBA has brought a slew of new deductions and credits, further complicating the filing process. Deductions for tips, overtime, auto loan interest, and benefits for senior citizens are now on the table, as are expanded credits for children and retirees. For some workers, certain overtime pay and tips may not be taxed at all. These changes are designed to put more money in Americans’ pockets and, according to the Tax Foundation, to "increase incentives to work, leading to growth over the long term." But they also mean that both taxpayers and software providers have had to adapt quickly, with new forms and updates required for the 2026 season.
Despite the excitement over larger refunds, the IRS cautions that the first few weeks of the filing season can see wide fluctuations in refund statistics. As of February 7, 2026, the agency had issued 7.4 million refunds—down from 8.1 million at the same point in 2025—representing 33 percent of returns filed so far. Historically, more than two-thirds of refunds are sent out before April 15, but the pace can vary as people wait for all their documents or for the IRS to process returns with refundable credits.
The deadline to file federal tax returns this year is April 15, 2026. For those unable to file on time, an extension can be requested using Form 4868, granting until October 15, 2026, to submit the return. However, any taxes owed must still be paid by the original April deadline to avoid penalties and interest. Many states have their own extension rules, so it’s important to check local requirements as well.
For taxpayers who prefer to avoid the stress of last-minute filing, e-filing as soon as all documents are in hand remains the best way to ensure a swift refund. Mailing in a paper return can add three to four weeks of delay, as the IRS must manually enter the information into its systems. And with paper checks off the table, electronic filing and direct deposit are now the fastest—and sometimes the only—route to receiving your money.
Tax professionals continue to play a vital role, especially for those with complex situations or significant life changes. Major events like having a child, buying a home, retiring, or investing can all affect tax liability and eligibility for deductions or credits. Consulting a CPA or enrolled agent can help ensure that returns are accurate and that taxpayers are taking full advantage of the new provisions under OBBBA.
Looking at the broader picture, the IRS refunded about $329 billion during the 2024 and 2025 filing years, with more than 104 million refunds issued in 2024 and 103.8 million in 2025. The agency’s weekly statistics provide a snapshot of how the season is progressing, with cumulative totals compared to the same point in previous years. As the weeks go by, early differences in refund numbers typically smooth out, especially as more returns claiming EITC and ACTC are processed after mid-February.
For those anxious to know the status of their refund, the IRS offers the “Where’s My Refund?” online tool and the IRS2Go app, both of which provide up-to-date information on processing and payment timelines. While no one can guarantee an exact date, the combination of new tax laws, enhanced e-filing systems, and direct deposit means that, for most Americans, 2026 could be a year of both larger and faster refunds—provided they avoid the common pitfalls that can trip up even the most seasoned filers.
The 2026 tax season is a testament to how quickly the landscape can change, with new laws and procedures reshaping everything from the size of refunds to the way they’re delivered. For taxpayers, staying informed and vigilant is the surest way to make the most of this year’s opportunities.