IRS to Issue More Tax Refunds in Second Half of July 2025

Through the end of July 2025, the Internal Revenue Service (IRS) and some state revenue departments will still be processing 2024 tax refunds.

Using official IRS and state agency data, let’s examine the current federal and state refund distributions, recipient profiles, and average payout amounts if you haven’t received your money yet.

The IRS continues to issue tax refunds as of mid-July 2025, particularly to taxpayers who file paper forms close to the deadline. According to IRS standards, those who file paper forms between May 16 and May 31, 2025, could anticipate receiving their returns between July 11 and July 25.

Refunds for federal taxes are still being processed

According to official IRS figures, late filers continue to get compensation in the second half of July. Given the normal 21-day e-file processing schedule, reimbursements are also being issued to electronic filers from early July.

Taxpayers who overpaid their annual taxes or who were eligible for certain credits receive refunds. Small enterprises, families, and individuals having credit balances following filing are included in this. The Child Tax Credit (CTC) and Earned Income Tax Credit (EITC) are the two main credit kinds that produce refunds.

However, delays still occur. Holdups are caused by mistakes in documentation, problems with identity verification, or IRS operational limitations. One significant cause is that, according to IRS officials, “budget cuts and staffing shortages” continue to put a burden on processing capacity.

As of July 2025, the average IRS tax refund

According to IRS data, the average federal refund for fiscal 2025 was $2,939. That is somewhat more than the average of $2,869 for 2024. A number of factors contributed to this rise. One factor was adjusted withholdings. Changes to the tax code also helped. Averages were also raised by more taxpayers claiming credits. Key yearly comparisons are displayed below:

Tax refunds are still being issued by two states.

Due to the sudden closure of its printing provider (announced on June 16), the North Carolina Revenue Department (NCDOR) is experiencing delays in paper checks.

Direct deposit is unaffected for electronic filers. During this disruption, NCDOR’s refund tracker displays a restricted amount of data. In July, taxpayers should still receive paper checks, but more slowly than normal.

In June 2025, Georgia’s tax department began issuing surplus refunds in accordance with House Bill 112 (June 2 notice). Taxpayers who filed their 2023–2024 taxes before May 1, 2025, or October 15 with extensions, are covered by these.

The amounts are $250 for single filers and $500 for joint filers, depending on the federal AGI for 2023. Due to continuing processing, some payments will arrive in July even though distributions started in June.

Additionally, no other states made any announcements on their July refund initiatives. In South Carolina, New Jersey, and California, standard processing is still carried out.

California usually takes a month to process personal refunds and up to six months to process company refunds. EITC returns in New Jersey are frequently subject to lengthier reviews. For up-to-date information, taxpayers can visit their state’s revenue portal directly.

Didn’t receive an IRS check? What to do next is as follows:

Use the “Where’s My Refund?” tool on IRS.gov or the IRS2Go app to see if you have received your IRS tax refund check within the anticipated timeline (21 days for e-filers, 6+ weeks for paper filers). Do not act until five more mailing days have passed if it is listed as “issued” but you have not received it.

Contact the IRS refund hotline at 800-829-1954 (for individuals) or 800-829-4933 (for corporations) for lost checks. Be prepared with your exact refund amount, filing status, and Social Security number. You might need to request a trace by submitting Form 3911 (Taxpayer Statement Regarding Refund) if the check was misplaced or stolen.

The IRS mails a check to the address you have on file if your bank information is denied, so direct deposit filers should double-check their information. For unresolved cases, call 877-777-4778 to reach the Taxpayer Advocate Service.

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