Earned Income Tax Credit And Additional Child Tax Credit Refunds Will Not Be Received Until The 27th Of February Due To Requirements Of The Federal Law

Due to delays, those who will be receiving the Earned Income Tax Credit or Additional Child Tax Credit refunds will have to wait a little longer.

The new federal law caused delays in terms of receiving the earned income tax credit and the child tax credit refunds. (Photo: Fabalabse)

The Earned Income Tax Credit or Additional Child Tax Credit Refund Delay

In general, people can expect their tax refunds within 21 days if they file electronically and use direct deposit. However, filers who claimed the Earned Income Tax Credit (EITC) or Additional Child Tax Credit (ACTC) will not receive refunds until at least Feb. 27.

Due to additional identity checks required by federal law, the Earned Income Tax Credit or Additional Child Tax Credit refunds will be delayed.

The Earned Income Tax Credit is a tax break for low to moderate earners with higher amounts for those with children, while the ACTC is the refundable portion of the Child Tax Credit.

According to a published article by AL.com, about 20% of eligible taxpayers do not claim the Earned Income Tax Credit, which averaged $2,541 in 2022 and can be worth up to $7,430 depending on the number of children and income.

Further Announcements May Be Made

In a published article by Forbes, the IRS says most taxpayers who file electronically get their refunds in 21 days or less, except for those claiming the earned income tax credit or additional child tax credit for the 2024 tax year.

Taxpayers claiming the earned income tax credit may have to wait until February 27 at the earliest to receive their refund. The delay applies to the entire refund, not just the credits claimed. The IRS may need more information and will send a letter if necessary.

READ ALSO: Tax Filing Season: The Child Tax Credit’s Waiting Game