IRS Processing Improvements Could Bring Faster Tax Refunds

An IRS paperless processing initiative and other service and technology improvements mean taxpayers could see faster tax refunds next year and beyond.

IRS building for improved service and faster tax refunds
(Image credit: Getty Images)

Can you expect faster tax refunds in the future? Recent customer service improvements and technology upgrades, including an accelerated IRS paper processing initiative, signal a new “normal” at the agency — where people will receive their federal tax refunds sooner than in the past. 

The funding for the IRS improvements, some of which recently helped the agency clear a pandemic backlog of over 23 million unprocessed tax returns, have come thanks to the Inflation Reduction Act (IRA). The IRA initially allocated $80 billion in funding for the IRS over ten years. And although some of those funds have been clawed back in recent legislation, the agency has a detailed plan for using the funds.

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Katelyn Washington
Former Tax Writer

Katelyn has more than 6 years of experience working in tax and finance. While she specialized in tax content while working at Kiplinger from 2023 to 2024, Katelyn has also written for digital publications on topics including insurance, retirement, and financial planning and had financial advice commissioned by national print publications. She believes knowledge is the key to success and enjoys providing content that educates and informs.