Skip to Main Content Back to Project Angel Food Homepage
We believe no one fighting critical illness should go hungry
Project Angel Food nourishes the health and spirit of vulnerable people facing critical and life-threatening illness, by preparing and delivering medically tailored meals with love, care and dignity.

Create an enduring legacy of compassion, healing and kindess

Create an enduring legacy of compassion, healing and kindess
and help us
Thrive with simple
Giving Strategies

Meet your philanthropic and financial goals while making a significant impact on our future.

Learn About Ways to Give

Giving Home > Giving News > Washington News > Tax Refunds $43 Billion Higher This Year

Tax Refunds $43 Billion Higher This Year

Published May 1, 2026

On April 17, the Internal Revenue Service (IRS) reported that it had issued approximately $296 billion in tax refunds. This is an increase of about 17% compared to the prior year. For the 2025 tax year, the average refund amount to date was $3,275. This amount is about $300 higher compared to last year.

On April 22, 2026, Treasury Secretary Scott Bessent spoke before the U.S. Senate Committee of Appropriations and discussed the new tax provisions. Secretary Bessent pointed out that there were three substantial tax benefits for individuals that resulted in higher refunds.

The senior citizen deduction of $6,000 ($12,000 for a married couple filing jointly) was claimed by 31 million taxpayers. This deduction is in addition to the standard deduction and is available for years 2025 through 2028. With the additional senior deduction, an estimated 88% of Social Security benefit recipients did not pay tax on that retirement payment.

Working individuals benefited from the overtime compensation deduction. This deduction can reach $12,500 ($25,000 for a married couple filing jointly). Over 28 million taxpayers have claimed this deduction for 2025. This deduction phases out for single persons with incomes over $150,000 or couples with incomes over $300,000.

The third tax benefit was the deduction of up to $25,000 of qualified tip income. Over seven million taxpayers claimed this deduction. This deduction is allowed in addition to the standard deduction. The tip deduction phases out for single persons with incomes over $150,000 or couples with income over $300,000.

The IRS data suggests that approximately the same number of taxpayers filed this year as in prior years. The IRS did note a small increase of 500,000 returns being processed this filing season. The IRS also noted that there was a 1% increase in the number of returns filed electronically.