If you are filing your 2025 tax return early this year, the Internal Revenue Service (IRS) is reminding taxpayers that refunds may be delayed for certain credit claims. Specifically, taxpayers who claim the Earned Income Tax Credit (EITC) or the Additional Child Tax Credit (ACTC) cannot receive their refunds until after mid-February, no matter when they file.
This delay is required by the PATH Act of 2015, which aims to reduce tax-related fraud by allowing the IRS time to verify income, identity, and eligibility for these credits. Importantly, the restriction applies to the entire refund, not just the portion related to these specific credits.
What Are These Tax Credits?
Both the EITC and ACTC are designed to support low- to moderate-income taxpayers and families with children. The value of these credits depends on income, filing status, and the number of qualifying children.
| Credit | Maximum Refund | Eligibility & Details |
|---|---|---|
| Earned Income Tax Credit (EITC) | $649 (no children) – $8,046 (3+ children) | Available to low- and moderate-income workers. Amount depends on income, filing status, and number of qualifying children. Even taxpayers without children can qualify. |
| Additional Child Tax Credit (ACTC) | Up to $1,700 per child | Part of the standard Child Tax Credit worth $2,200 per qualifying child under age 17. The ACTC allows taxpayers to receive a refundable portion of the Child Tax Credit as part of their refund. |
Why Refunds Are Delayed
The PATH Act of 2015 requires the IRS to hold refunds for these credits until at least mid-February. This extra time allows the IRS to:
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Verify income accuracy – ensuring taxpayers report correct wages and earnings.
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Confirm taxpayer identity – protecting against fraudulent claims.
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Prevent early improper payments – safeguarding government funds and taxpayers from potential scams.
Even if your return is filed early in January, this rule means refunds cannot be issued for these credits before the set date.
Refund Timing & Expectations
| Filing Method | Expected Timeline | Notes |
|---|---|---|
| E-file + direct deposit | By March 2, 2026 | Assumes no issues with your return; refund includes EITC or ACTC. |
| Paper return | ~4 weeks | Paper returns take longer due to manual processing. |
| E-file, prior-year return | 3–4 days after acceptance | Only for returns without EITC/ACTC complications. |
For early filers claiming EITC or ACTC, the IRS reports that your information should appear in the “Where’s My Refund?” tool by Feb. 21, 2026. Taxpayers can check status online or via the IRS mobile app.
What to Do if Your Refund Is Delayed
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Do not panic – the delay is normal for EITC/ACTC claimants.
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Check the IRS “Where’s My Refund?” tool for updates.
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Respond promptly if the IRS contacts you for additional information.
Important Filing Deadline
All taxpayers must file their 2025 tax return by April 15, 2026 to avoid penalties, fines, and interest. Even with delays for EITC and ACTC, filing early is encouraged to speed up processing once the IRS begins issuing refunds.
Quick Facts at a Glance
| Fact | Detail |
|---|---|
| Credits causing delay | Earned Income Tax Credit (EITC), Additional Child Tax Credit (ACTC) |
| Refund earliest date | Mid-February 2026 |
| Refund expected for early filers | March 2, 2026 |
| IRS verification purpose | Identity check & income accuracy |
| Filing deadline | April 15, 2026 |
