Is IRS delaying direct deposit of e-filed returns ?

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  • RWG1950
    Senior Member
    • Nov 2017
    • 458

    #1

    Is IRS delaying direct deposit of e-filed returns ?

    I'm aware of the IRS shutdown & how this is going to affect the processing of paper returns but am wondering if e-filed returns have affected as well.
    Recently received a customer call - their return was e-filed & accepted on 3-26 and the refund has not yet been direct deposited.
    Over the years my experience has been that an e-filed return accepted by Wednesday generally has provided the direct deposit by Friday of the following week.
    Couple of cycles behind on this one.
    Although this is just one return, I'm wondering if there are others customers that have had this same issue & not yet called me.
    Thanks for comments.
  • Lion
    Senior Member
    • Jun 2005
    • 4698

    #2
    The IRS states that 90% of direct deposits are made within 21 days. That will be about 17 April. Tell your client to use IRS's Where's My Refund? to check.

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    • dtlee
      Senior Member
      • Oct 2005
      • 807

      #3
      Originally posted by RWG1950
      Over the years my experience has been that an e-filed return accepted by Wednesday generally has provided the direct deposit by Friday of the following week.
      I have also seen that pattern, but did not e-file any returns on 3/26. The one from 3/22 has this message:
      Your refund was sent to your bank on March 30, 2020 for direct deposit.
      Doug

      Comment

      • TAX4US
        Senior Member
        • Mar 2010
        • 551

        #4
        I efiled 2 returns with refunds on 03-01. Site still says processing and no letters to client. With everything down how do you proceed on?

        Comment

        • Lion
          Senior Member
          • Jun 2005
          • 4698

          #5
          Do the returns have EIC, CTC/ACTX/ODC, AOTC, &/or HOH? They could take a lot longer than 21 days. Your clients can check Where's My Refund? once per day.

          For 2020, help your client have close to a zero refund/balance due. Don't give Uncle Sam an interest-free loan.

          Comment

          • RWG1950
            Senior Member
            • Nov 2017
            • 458

            #6
            Lion : The return in my post had none of these, but did have a "C" for a small amount of daycare income. I have not found the "where's my refund" tool to be of much value.
            As for the loan, at present we're sorta giving the banks interest-free loans with our deposits as well.

            Comment

            • Lion
              Senior Member
              • Jun 2005
              • 4698

              #7
              Our direct debits? Those are our 2019 balances due, so WE got and get the loan up until the time we pay (which for me will be 15 July).

              Our direct deposits? That's what I said above: Don't give Uncle Sam an interest-free loan for 2020; help your clients adjust their withholding to NOT have a large refund.

              Comment

              • TAX4US
                Senior Member
                • Mar 2010
                • 551

                #8
                I agree with all. Exception being these 2 returns TP's couldn't save a dime if they had too.

                Comment

                • Lion
                  Senior Member
                  • Jun 2005
                  • 4698

                  #9
                  I have a couple who know they can't save and overwithhold on purpose to get a big refund in time to pay property tax or some such no matter what I say. But, I won't waste my time chasing down their refunds. They have the web link and phone # in their instructions from me.

                  Comment

                  • ATSMAN
                    Senior Member
                    • Jul 2013
                    • 2415

                    #10
                    Originally posted by Lion
                    I have a couple who know they can't save and overwithhold on purpose to get a big refund in time to pay property tax or some such no matter what I say. But, I won't waste my time chasing down their refunds. They have the web link and phone # in their instructions from me.
                    I have a middle aged couple that do the same and I am thinking that these people make over $100K, both are college graduates, have a nice house and can't figure out how to keep money in their bank account to pay bills comming due? When I tell them they are giving the Govt. an interest free loan to hold their money, they say they get a few bucks interest anyways so it does not matter to them.
                    Taxes after all are the dues that we pay for the privileges of membership in an organized society. - FDR

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