The Internal Revenue Service (IRS) is continuing to process and distribute tax refunds for the 2025 filing season throughout June. While the agency is working within its usual operational timelines, there are challenges due to personnel layoffs and budget cuts.
As a result, many taxpayers are still waiting to receive their refunds. Understanding the factors that influence the timing of these refunds can help you track when you might receive yours.
Factors Influencing Refund Timing
Several key factors can affect when taxpayers receive their refunds. The method of filing and the payment method chosen are among the most important. Taxpayers who file electronically and choose direct deposit typically receive their refunds faster than those who file paper returns and choose to receive checks by mail. Additionally, the IRS’s workload and potential administrative issues can impact processing times.
Refunds for Late Filers
Taxpayers who filed their returns after the regular April 15 deadline are included in the group of late filers. This group also includes individuals who filed for an extension or those who reside outside the U.S. Refunds for this group are processed based on the date the IRS receives their return.
The first group of late filers includes those who filed after May 15 using the e-file system. For taxpayers who selected direct deposit, refunds are expected to be processed between June 6 and June 19. If they opted for a paper check, refunds will be mailed between June 13 and June 26.
The second group includes taxpayers who filed paper returns between May 16 and May 31. Refunds for these taxpayers are expected to begin processing on June 26, with distribution continuing into early July.
Refund Delays Due to Administrative Issues
While the IRS is working hard to process refunds, some unexpected delays are occurring. The recent layoffs of more than 7,000 IRS staff members have caused an overload of work, leading to delays in manually processing tens of millions of paper tax returns. This, combined with the manual reviews needed for certain claims, has slowed down the process.
Taxpayers claiming refundable tax credits such as the Earned Income Tax Credit (EITC) or the Child Tax Credit (CTC) may experience delays. Additionally, any returns that require identity verification or are flagged for special processing could take longer to process.
Technical and systematic processes within the IRS can also impact how quickly returns are processed. Certain types of returns or specific situations may be sent to queues that experience temporary slowdowns. While these delays are frustrating, they are part of the IRS’s normal operating procedures.
Estimated Tax Refund Dates for June 2025
For e-filed returns submitted between May 1 and May 15, taxpayers who chose direct deposit saw refunds processed by June 4, while those who opted for a mailed check had their refunds extended until around June 11. These deadlines have already passed.
For returns filed between May 16 and May 31, taxpayers who used direct deposit can expect refunds to be processed between June 6 and June 19. If a mailed check was selected, refunds are expected to arrive between June 13 and June 26.
Paper returns filed between May 16 and May 31 will begin receiving refunds starting June 26, but it may take several weeks for all refunds to be processed. Taxpayers with claims for EITC, CTC, or other special circumstances may experience further delays, with refunds potentially arriving in late June or July.
Average Tax Refund for June 2025
According to recent IRS data, the average tax refund issued in June 2025 is approximately $2,939. Independent estimates place the figure slightly higher, closer to $2,945. This represents the typical refund amount issued during this time frame, although it can vary depending on individual circumstances.