The Internal Revenue Service (IRS) has issued a reminder that it
will be delaying refunds for taxpayers claiming the Earned Income
Tax Credit (EITC) or the Additional Child Tax Credit (ACTC). The
delay is meant to give the IRS more time to detect fraudulent tax
refunds, which have become a growing problem in recent years.
The IRS will put holds on all refunds for which the taxpayer is
claiming the EITC or the ACTC until February 15 or later. It is
important to note that even if the taxpayer has a refund of which
the EITC or ACTC is only a part, the entire refund will be
held.
"This is an important change as some of these taxpayers are
used to getting an early refund," said IRS Commissioner John
Koskinen. "We want people to be aware of the change for their
planning purposes during the holidays. We don't want anyone
caught by surprise if they get their refund a few weeks later than
in previous years."
