Clients often ask, “How long until I get my tax return?” hoping for quick answers, but much is beyond your control once the documents are submitted. As their tax preparer, it’s crucial to set realistic expectations and prepare them for possible delays. On average, a tax return can be deposited in as little as ten days if no deductions need verification, the return is e-filed with all required documents, and direct deposit information is provided. However, increasing tax return fraud complicates this process, with identity thieves filing fraudulent returns and diverting refunds to their accounts. Resolving such theft can take months, during which the victim must prove the return was stolen and the refund belongs to them. The IRS has implemented extra identity verification steps to prevent fraud, which may delay returns for those unable to confirm their identity online. To address potential delays, offering clients bank products can provide a solution. These products allow for early refunds through short-term loans and enable preparers to collect fees directly from the refund, streamlining the process. Integrating these options into your tax preparation software can ensure smoother transactions and greater client satisfaction.
source: https://ultimatetax.com/blog/explaining-tax-refund-delays-to-your-clients/
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