The 2024 tax season is expected to challenge taxpayers in unprecedented ways as the Internal Revenue Service (IRS) grapples with staffing shortages, outdated technology, and an overwhelming volume of returns. With fewer employees handling more complex submissions, the agency is warning Americans to anticipate longer wait times, delayed refunds, and potentially more errors unless steps are taken early to prepare. If you’re expecting a quick refund or simply want to avoid stress, understanding the IRS’s current strain is more important than ever.
After several years of economic instability, pandemic-related disruptions, and legislative changes, the IRS finds itself in a tenuous position as it heads into this year’s busiest months. Millions are filing returns while the agency works under pressure to keep pace with evolving tax codes—yet its workforce has been thinned by retirements, budgetary constraints, and systemic inefficiencies. For most individuals and families, this means navigating a tax season with fewer live agents, more reliance on digital tools, and higher stakes when it comes to filing on time and accurately.
At a glance: What to expect this tax season
| Aspect | Details |
|---|---|
| Staffing Levels | Down nearly 20% from pre-pandemic levels |
| Average Refund Timing | Up to 21 days, possibly longer with errors |
| Paper Return Backlog | Millions still unprocessed from 2023 |
| Taxpayer Assistance | Limited phone service; expanded digital support |
| Return Processing Speed | Slow for paper; faster for e-filing with direct deposit |
| Main Filing Deadline | April 15, 2024 |
What changed this year
Several factors are converging to make the 2024 tax season particularly complex. Despite efforts to modernize systems and shorten refund timelines, the IRS is dealing with ongoing budget hardships and an insufficient workforce. The agency lost thousands of experienced agents over the past three years, many to retirement, while new hires are still going through training. At the same time, program changes from recent legislation—including expanded child tax credits and pandemic-era benefits ending—have added confusion to the filing process.
And while digital filing and automation tools have alleviated some stress, technological infrastructure remains outdated. Older systems are prone to glitches and aggressive identity theft filtering measures may delay legitimate claims. As a result, even simple tax returns could face holdups this year if they trigger red flags or require manual review.
Why IRS staffing has declined
The IRS workforce has been steadily shrinking. From 2010 to 2023, the agency lost over 20,000 employees, many of them frontline workers and experienced processors. Budget cuts and hiring freezes discouraged long-term planning and investment in technician roles, leaving the agency vulnerable when pandemic relief packages surged taxpayer needs.
Experts note that the imbalance between responsibility and capacity has widened. Training new employees takes time, and while Congress has begun to address funding gaps, it may take several years for the IRS to fully refill positions and improve operational resilience.
“The IRS is trying its best, but it’s like fighting a warehouse fire with a garden hose. Taxpayers will feel the heat if they’re not careful.”
— Janet L., CPA and former IRS agentAlso Read
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How to avoid refund delays
If you want to minimize the risk of waiting weeks—or even months—for your refund, the IRS offers clear guidance:
- File electronically. Paper returns are at much higher risk for delays.
- Use direct deposit. Choosing this payment method is considerably faster than mailed checks.
- Double-check your information. Small errors in Social Security numbers, banking details, or dependents’ names can trigger holds for verification.
- Avoid paper forms. Even amended returns submitted physically can become stuck in the processing backlog.
- Be mindful of credits and rebates. Misreporting things like the Earned Income Tax Credit (EITC) or Child Tax Credit can flag your return for extra review.
“Every year, we see hundreds of returns delayed for avoidable mistakes. If you take a little extra time to do it right, your refund will be safer and faster.”
— Marcus T., Enrolled Agent
Who qualifies and why it matters
One of the biggest complications for filers this year involves eligibility for various credits and deductions, many of which have changed since 2023. For instance, some pandemic-related stimulus benefits are no longer available, and thresholds for deductions like student loan interest and retirement savers’ credits have shifted.
Understanding who qualifies for what can help taxpayers reduce liability and increase refunds. It also determines whether additional documentation is needed—which, if not included, can cause processing delays. The IRS emphasizes the importance of reviewing the most recent guidance and using official tools to determine your eligibility before submitting a return.
Winners and losers of tax season 2024
| Winners | Why |
|---|---|
| Taxpayers who e-file early | Faster refunds and lower risk of IRS backlogs |
| Low/moderate income families | Eligibility for EITC and remaining child tax credits |
| Users of certified tax software | Error checks and step-by-step guidance reduce delays |
| Losers | Why |
| Paper filers | At highest risk of delayed processing and longer waits |
| People with outdated banking info | May face issues with refund delivery and verification |
| Self-employed without accurate records | High audit risk and harder deduction claims |
How technology may help or hurt
The IRS has been investing in new technology platforms—but the speed of rollout remains uneven. While digital filing tools and account portals are improving, some internal systems are still decades old. This hybrid environment creates friction, especially when a return flagged by an automated check must escalate to a human agent already in short supply.
That said, those who embrace available tools such as the IRS Direct Pay, Where’s My Refund?, and digital transcript services stand a better chance of navigating filing successfully. These tools are regularly updated and can offer real-time status unlike traditional mail correspondence, which remains slow.
What happens if you file late or need changes
Filing after the April 15 deadline (unless you’ve secured an extension) will result in penalties and interest on any unpaid taxes. Amended returns, filed using Form 1040-X, remain part of the most delayed branch of IRS processing—especially when mailed in. Changes involving credits, name mismatches, or Social Security errors are typically flagged for manual handling.
The best way to avoid needing an amended return is to take extra care the first time. Double-check matches to W-2s, 1099s, and any tossed forms from financial institutions before submission.
Frequently Asked Questions
What’s the fastest way to receive my refund?
The fastest way is to file electronically with direct deposit. Avoiding paper forms and ensuring accurate banking information greatly speeds up processing.
How long will refunds take this year?
The IRS estimates 21 days for most e-filed returns with no issues, but errors or claims of certain credits may trigger longer delays.
Why is the IRS taking so long to answer phone calls?
Due to staffing shortages, the IRS has limited phone support hours and fewer agents available. Online tools are often faster than calling.
Can I file on paper to avoid identity theft?
While some believe that mailing in returns is more secure, paper returns are more likely to be delayed or lost. The IRS recommends secure e-filing for most filers.
Do I need to reapply for child tax credits?
If you qualified last year, your eligibility might change. You’ll need to review current IRS guidance and file accordingly to claim any 2024 credits.
Are there penalties for filing taxes late?
Yes, unless you’ve requested an extension, filing after April 15 can lead to penalties and interest on unpaid taxes.
How can I track my refund?
You can use the IRS’s “Where’s My Refund?” tool for the most current updates on the status of your return and refund delivery.
Is it worth using tax preparation software?
Yes. These tools reduce errors and accelerate filing. Certified software connects directly to IRS systems and flags common mistakes before submission.
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