A tax return is typically placed under review by the IRS to verify income, expenses, or credits, often triggered by automated, random, or risk-based screenings. Common reasons include inconsistencies with W-2/1099 forms, high deductions, claimed credits like the EIC, or suspected identity theft. Reviews can take 45 to 180 days, often requiring a CP05 notice.
The IRS reviews some federal tax returns to determine if income, expenses, and credits are reported accurately. The IRS selects returns for review using various methods; including random sampling, computerized screening, and comparison of information received by the IRS such as Forms W-2 and 1099.
The ``under review'' status simply indicates that your return is in process, so there is no cause for concern at this stage. If the IRS identifies any issues, they will contact you in writing to request additional information.
Processing delays can occur due to identity verification, missing information, or complex return issues. If delays persist beyond typical timelines, consider contacting the Taxpayer Advocate Service for assistance in resolving prolonged processing problems.
The IRS uses a combination of automated and human processes to select which tax returns to audit. Not reporting all of your income is an easy-to-avoid red flag that can lead to an audit. Taking excessive business tax deductions and mixing business and personal expenses can lead to an audit.
A review does not automatically mean you are being audited. The IRS may only want to verify some details. If concerns persist, they might request more information. Most reviews end without a full audit.
According to the IRS, most refunds are funded within 21 days of filing. However, you may receive your refund at a different time depending on how you choose to receive it or if IRS finds issues with accuracy, such as reconciling the amount of stimulus payment or advanced child tax credit received in 2021.
What should I do? Request an expedited refund by calling the IRS at 800-829-1040 (TTY/TDD 800-829-4059). Request a manual refund expedited to you.
The IRS has no maximum time limit when it comes to processing tax refunds, but after 45 days, it is required to pay interest on your refund. In most cases, you can expect the IRS to issue your tax refund within 21 days of filing your tax return.
If the IRS is reviewing your return, it may have questions about your wages and withholding, or credits or expenses shown on your tax return. The review process could take anywhere from 45 to 180 days, depending on the number and types of issues the IRS is reviewing.
Common IRS audit triggers
“Under Review” means that your application has been received and is in the screening or background check process.
You may face an IRS audit after an IRS review. If the IRS reviews your information and detects inaccuracies in your tax returns, it may conduct a comprehensive audit to look into the matter further.
District offices select returns randomly sometimes for special research programs, but generally the returns are selected because they have good audit potential. The potential is discovered by a computerized system called the Discriminant Function System (DIF). In most cases, the decisionmaker is not the auditor.
We could take up to 60 days to complete this review. Please don't contact us prior to 60 days from the date of this notice since we won't be able to provide you any additional information. You can check your refund status at www.irs.gov/refunds or the IRS2Go mobile app for smart phones.
The most convenient way to check on a tax refund is by using the Where's My Refund? tool on IRS.gov. Taxpayers can start checking their refund status within 24 hours after the IRS acknowledges receipt of the taxpayer's e-filed return.
Tax returns and refunds
Some tax returns need extra review for accuracy, completeness, and to protect taxpayers from fraud and identity theft. Returns that fall into this category can take longer to process. Disaster-related returns may take longer to process than tax returns not claiming disaster relief.
Employees will review and either manually release the refund or confirm the error. If an error is confirmed, a notice will be sent to the taxpayer either requesting additional information or informing the taxpayer the error has been corrected through the IRS's math error authority.
The percentage of individual tax returns that are selected for an IRS audit is relatively small. From 2020-2023, less than 0.50% of individual returns were selected for audits — the lowest of any published audit rate since 1950.
Why is my return being reviewed? We select some returns to review so we can determine whether income, expenses, and credits are reported correctly. This doesn't mean you made an error or were dishonest.
If you file a complete and accurate paper tax return, your refund should be issued in about six to eight weeks from the date IRS receives your return. If you file your return electronically, your refund should be issued in less than three weeks, even faster when you choose direct deposit.
Under Review: Your application is in the pre-screen phase, which could include recruiter review, hiring manager review, and/or initial phone interview. Interview: You have been invited to and are participating in the formal interview process.
Processing your refund usually takes: Up to 21 days for an e-filed return. 6 weeks or more for returns sent by mail.