As tax season goes into full effect, there is always people who want to know if their state is the one that gives back the most taxes to the taxpayers. The Internal Revenue Service (IRS) has already taken the time to process about 46 million federal income tax returns for tax year 2022. They also have already issued more than $108.2 billion in refunds. By February 27, the average refund was $3,079, which is 11% less than what they returned on average last year during the same dates. However, Child Tax Credit and other tax breaks were actually expanded.
But that is only the national average, things fluctuate far more when you go state by state and it depends on which color said state is. An online platform called Lending Tree has ranked all 50 sates and the District ofColumbia by the biggest average refund for tax year 2020. You can find out about changes to the tax code for this year and all the tax breaks homeowners can claim directly on the IRS website. We offer coverage of the best information about taxes, tips and everything else you require in order to file your return and track your refund properly.
Which state offers the biggest tax refund?
There is about threee quarters or more Americans who have already received a refund for tax year 2020. Lending Tree’s assessment of IRS data for returns filed from January 1 to December 31, 2021. In the entire country, the average refund was $3,745. However, the state of Wyoming does offer back over $1,000 more than the federal average. This makes then reach an average refund of $4,877. This state is the least populous state in the United States and one of nine that doesn’t collect income tax. After Wyoming, we have the District of Columbia and Florida in the Top 3 of states with the highest tax refund amount.