It can be confusing to see your state refund hit your account while your federal refund is still nowhere to be found.
This is actually very common — and in most cases, it’s not something to panic about.
Here’s what’s going on.
Federal and State Refunds Are Separate
Your federal and state tax returns are processed by completely different systems.
- Your state refund is handled by your state’s tax agency
- Your federal refund is handled by the IRS
They do not move together, and they are not released at the same time. So it is entirely possible and normal to receive one before the other.
Federal Refunds Often Take Longer
The IRS processes millions of returns and federal refunds typically go through more layers of review.
This can include:
- Income verification
- Credit eligibility checks
- Identity verification
Credits Like EITC and ACTC Can Delay Your Refund
If you claimed certain credits, your refund may be held for additional review.
This includes:
- Earned Income Tax Credit (EITC)
- Additional Child Tax Credit (ACTC)
By law, the IRS cannot release these refunds before mid-February. Even after that, processing can still take time.
IRS guidance on refund delays:
Other Reasons Your Federal Refund May Be Delayed
- Missing or incorrect information
- Unreported income
- Identity verification requests
- Prior debts (refund offsets)
Any of these can slow down the process.
What You Should Do
If you’ve received your state refund but not your federal:
- Check your refund status using the IRS “Where’s My Refund?” tool
- Review your return for any errors
- Watch for any IRS notices or letters
Most delays resolve on their own, but it’s important to stay aware of your status.
Final Thoughts
If you received your state refund before your federal, there’s no need to worry, it’s normal.
In summary, your federal refund is still being processed and understanding the timing and possible delays can help you avoid unnecessary stress.
If you have questions in regards to the delay or just want someone to take a second look, feel free to reach out to me.
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