IRS Says Average Tax Refund Hit $3,571, a 10.9% Increase as Direct Deposit Refunds Rise

The 2026 tax filing deadline is April 15. IRS data shows average refunds are up 10.9% to $3,571. Residents and visa holders must file or request an extension.

Key Takeaways
  • The primary federal tax filing deadline is April 15, 2026 for most U.S. residents and visa holders.
  • Average tax refunds have increased by 10.9% reaching $3,571 compared to the previous year’s filing season.
  • Taxpayers with foreign accounts exceeding $10,000 must file the FBAR by the April 15 deadline.

The main federal tax filing deadline is April 15, 2026, for 2025 tax returns filed during the 2026 filing season. That date affects most U.S. tax residents, green card holders, H-1B workers, and many other immigrants who must file Form 1040. Some nonresident filers use Form 1040-NR instead.

This matters even more this year because refunds are running higher. IRS filing season data through March 20, 2026 shows the average tax refund reached $3,571, a 10.9% increase from $3,221 at the same point in 2025. The IRS had issued 56,729,000 refunds totaling $202.595 billion.

IRS Says Average Tax Refund Hit ,571, a 10.9% Increase as Direct Deposit Refunds Rise
IRS Says Average Tax Refund Hit $3,571, a 10.9% Increase as Direct Deposit Refunds Rise

For immigrants, the first step is still the same: determine whether you are a resident alien or nonresident alien under the Green Card Test or Substantial Presence Test. The IRS explains those rules in Publication 519.

2026 deadline summary

Tax event Who it affects Deadline Extension available
Form 1040 filing and tax payment Most U.S. residents, including many green card holders and H-1B workers April 15, 2026 Form 4868 extends filing to October 15, 2026
Form 1040-NR with wages subject to withholding Many nonresident aliens with U.S. wage income April 15, 2026 Form 4868 may extend filing to October 15, 2026
Form 1040-NR with no wages subject to withholding Some nonresident aliens June 15, 2026 Extension may be available
Form 8843 F-1, J-1, M-1, and Q visa holders claiming exempt individual status April 15, 2026 if filed with a return; June 15, 2026 if filing alone No separate extension if filed alone
FBAR, FinCEN Form 114 Taxpayers with foreign accounts over $10,000 aggregate April 15, 2026 Automatic to October 15, 2026

? Deadline Alert: Filing an extension gives you more time to file, not more time to pay. Any expected tax is still due April 15, 2026.

Refunds are up, but waiting can still cost you

The IRS data through March 20 shows several strong refund figures:

  • Average refund: $3,571
  • Total refunds issued: 56,729,000
  • Total refunded: $202.595 billion
  • Returns processed: 77,801,000, down 1.1%
  • IRS.gov visits: 380,292,000, up 55.6%

Refunds sent by Direct deposit refunds also rose:

  • 57,281,000 direct deposit refunds issued
  • $203.960 billion sent by direct deposit
  • Average direct deposit refund: $3,561, up 8.4%

That means many filers are seeing money faster through bank transfers than paper checks. If you are due a refund, direct deposit is usually the quickest option.

Earlier 2026 filing season numbers show the same pattern

The increase did not appear in just one week.

  • For the week ending March 6, 2026, the average refund was $3,676, up 10.6%
  • For the week ending February 27, 2026, the average refund was $3,742, up 10.6%
  • For the week ending February 13, 2026, before certain PATH Act holds lifted, the average refund was $2,476, up 14.2%

Mid-March reports also showed about 50.4 million refunds totaling $182.6 billion. Some IRS reports put the average direct deposit at $3,613, also higher than last year.

What is pushing refunds higher

Several 2025 tax year changes appear to be raising refunds in the 2026 filing season:

  • Expanded child tax credits
  • Higher standard deductions
  • New tip and overtime deductions

For immigrants, that can matter a great deal. A tax resident filing Form 1040 may qualify for credits and deductions that a nonresident on Form 1040-NR cannot claim. Treaty benefits can also change the result. The IRS covers treaty rules in Publication 901, available through IRS forms.

⚠️ Warning: Filing the wrong status is a common mistake. F-1 and J-1 holders are often exempt from the substantial presence count for a limited period, but that does not mean they have no filing duty.

Missing the deadline can trigger penalties

If you owe tax and miss April 15, 2026, the IRS may charge:

  • A failure-to-file penalty
  • A failure-to-pay penalty
  • Interest on unpaid tax

If you are owed a refund, there is usually no late-filing penalty. Still, delaying your return delays your money. It can also affect later immigration paperwork that asks for tax records.

Special cases for immigrants and visa holders

A few groups should review their filing position carefully:

  • F-1 and J-1 students or scholars may need Form 8843 even with no income
  • H-1B and L-1 workers are often tax residents and must report worldwide income
  • New arrivals and status changers may need a dual-status return
  • Taxpayers with foreign accounts above $10,000 aggregate must file the FBAR

Taxpayers in federally declared disaster areas may receive postponed deadlines. Check the IRS newsroom and the international taxpayer page at IRS international tax.

? Tax Tip: If you changed from F-1 to H-1B during 2025, review whether you must file as a dual-status alien. That choice can affect your refund and treaty claims.

Before April 15, 2026, gather your W-2s, 1099s, Form 1098-T, foreign account records, and prior immigration status dates. Then confirm your residency status, choose the right form, and use Direct deposit refunds if you want the fastest payment.

If you need more time, file Form 4868 by April 15, 2026 and pay any expected balance by that date. If your case involves treaty benefits, dual-status rules, or foreign reporting, review Publication 519 and speak with a tax professional before filing.

⚠️ Disclaimer: This article is for informational purposes only and does not constitute tax, legal, or financial advice. Tax situations vary based on individual circumstances. Consult a qualified tax professional or CPA for guidance specific to your situation.

People also ask

Answers from VisaVerge guides
What should immigrants do before the 2026 tax filing deadline?

Before January 26, 2026, immigrants should gather their tax forms, create or verify their IRS online account, and choose their filing method to prevent delays.

Read: IRS Tax Season Opens Jan 26, 2026: How to Prepare Now
Are there any extensions available for taxpayers living abroad when filing taxes by April 15, 2027?

Taxpayers living abroad have an automatic extension to June 15, 2027, with the option to further extend until October 15, 2027.

Read: April 15, 2027 Tax Filing Deadline Puts Pre-Tax Returns In Focus
Who must file Form 1040-NR by April 15, 2025?

Nonresident aliens who were employees with wages subject to U.S. withholding or those who had an office or place of business in the United States must file by this date.

Read: Filing 1040-NR for Calendar Year: April 15 or June 15 Deadlines
What is the tax filing deadline for H-1B visa holders in 2026 based on 2025 income?

The regular federal filing deadline for 2025 returns is April 15, 2026.

Read: H-1B Tax Filing Guide 2026: Residency, Forms, and Deductions
What is the main tax deadline for U.S. residents and nonresidents in 2027?

The primary tax deadline for 2026 returns is Tuesday, April 15, 2027 for residents and nonresidents.

Read: How Visa Status Shapes NRI Investment Planning Under U.S. Policy
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Sai Sankar

Sai Sankar is a law postgraduate with over 30 years of experience across direct and indirect taxation, spanning consultancy, litigation, and policy interpretation. At VisaVerge.com he leads coverage of cross-border finance for immigrants and NRIs — U.S. and state income tax, IRS rules, tariffs and trade duties, foreign-asset reporting, gift and estate tax, and retirement accounts like IRAs and RMDs. Sai's legal acumen turns the tangled intersection of immigration and money into clear, actionable guidance for a global audience.

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