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Tax Refund Issues with Education Tax Credits
So many Americans depend on their tax refund. But some, including many in central Illinois, have not received it yet because of an education tax credit issue.
Kevin Bowman filed his taxes on February 15 through H & R Block. As a Lincoln Land Community College Student, he claimed education tax credits. He thought he would receive his refund within 21 days, but that didn't happen.
"21 days had gone by and it still stated it was still being processed," Bowman said. "Then, it said there was an error and they didn't have a status to provide."
The same happened to a lot of you. On our Facebook page, Jennifer wrote, "I filed my taxes January 30th with education credits. Still do not have them."
Erica wrote, "I filed for the education tax credit and I have been waiting 5.5 weeks."
Deborah said, "I have contacted the IRS and everyone I speak with has a different story. I am told another four to six weeks for their error."
"I didn't have any answers," Bowman said. "I didn't know what was going on."
So what happened? We asked H & R Block. They said in a statement, "The error occurred in e-file processing and any problems that occurred with Form 8863 have been fixed. H&R Block clients have no immediate action. The scope of the number of impacted clients is not just H&R Block clients."
"I was depending on that money within the 21 days because I needed to have some things fixed on my car so I was kind of looking forward to that money," Bowman said.
There is good news for Kevin. He just finally received his refund. So if you were in Kevin's situation, according to H & R Block, expect your refund soon. But the delay has impacted so many of you needing that money.
Robert Gordon is a financial planner in Springfield.
"Vacations is the number one thing they spend it on," Gordon said. "Clothing, jewelry, electronics, cars, wash machines, that ripple effect from that inflow is huge."
"Just makes you wonder, if I use this again, will I have to wait two or three weeks and then another four to six weeks, especially when you expect it in three weeks," Bowman said.
The average refund this year, according to the IRS, is $3,000.