Americans could be in for a tax refund shock next year

Millions of U.S. taxpayers could face a tax refund shock when they file their 2022 returns because of the expiration of many pandemic benefits that lawmakers had designed to help Americans weather the crisis. 
 

That means families may see smaller refunds when they file their taxes in early 2023 for the current tax year, said Mark Steber, chief tax information officer at Jackson Hewitt. The average tax refund in 2022 (for the 2021 tax year) was almost $3,200, a 14% jump from the prior year, according to IRS data.

But the benefits that juiced refunds this year have largely lapsed, ranging from federal stimulus checks to the expanded Child Tax Credit (CTC), Steber noted.