The IRS is warning the public that $1 billion in unclaimed 2021 tax refunds remain because about 1 million taxpayers haven't filed tax returns for that tax year as an April 15 deadline looms.

The IRS has issued more than 29.6 million individual income tax refunds through Feb. 21, up 2.3% from a year ago.

If you've already filed your tax return, it's natural to wonder when you'll receive your refund. One of the most common questions is the exact time the IRS makes deposits.

The layoffs, which have been directed by the so-called Department of Government Efficiency (DOGE), led by billionaire and "special government employee" Elon Musk, have sparked concerns among experts who fear that the IRS won't be able to process Americans' tax refunds as quickly as usual this year.

The IRS said the average refund amount has increased by 7.5% this year, going from $3,213 in 2024 to $3,453 so far in 2025. The average direct deposit refund was also up by 7.1% from last year – at an average of $3,505. The IRS began accepting tax returns on January 27, 2025.

Understanding the timing of your IRS tax refund can significantly impact your financial planning. By submitting your tax return promptly and utilizing electronic filing, you can expedite the process and receive your refund sooner.

A new report suggests federal income tax refunds in 2025 could be among the highest in recent years. The report released by Oxford Economics on Monday said that it would be a “favorable” season for taxpayers,