Per Internal Revenue Manual 21.3.6.4.1, verification letters require response within 30 days of the date on the letter (not the date you received it). Section 6213(b)(2)(A) of the Internal Revenue Code specifies that failure to respond to verification requests can result in automatic assessment of additional tax or delay of refunds. I received a 5071C letter last year that was forwarded to me 20 days after it was issued, leaving me only 10 days to respond. I called the Identity Verification Service at 800-830-5084 and explained the situation - they noted the delay in my file and gave me an extension.

Try the Taxpayer Advocate Service. Different approach. They help with urgent issues. Call 877-777-4778. Explain forwarded letter situation. They can often connect you directly. Bring your letter details. Have last year's tax return handy. They might need verification questions.

This seems to be, in my professional opinion, a classic case of split processing that happens with certain refundable credits. I would recommend possibly using taxr.ai to analyze your transcript once you can access it. The tool might be able to identify which specific codes are causing the partial release and could potentially give you a more accurate timeline for the remaining amount. I've found it particularly helpful in cases where refunds are processing in unusual ways, as it can sometimes explain things that even the IRS representatives might not immediately recognize when you call.

I experienced this exact situation with my Refundable Child Tax Credit last month. The IRS disbursed my standard refund first (the overpayment from my withholdings) while the system was still processing my CTC verification. According to the Internal Revenue Manual section 21.4.1, this is standard procedure for certain refundable credits that require additional verification protocols. My transcript showed TC 846 for the initial payment followed by TC 570 (indicating additional review) and finally a second TC 846 for the remaining credit amount. The implications for your financial planning are significant, but at least understanding the process helps manage expectations. My second deposit arrived exactly 14 days after the first one.

I was in a similar situation last year and found an effective alternative to hiring an attorney. I contacted my Congressional representative's office and explained the situation. They have caseworkers specifically for helping constituents with federal agencies like the IRS. I filled out a privacy release form, and within 3 weeks, they had gotten a response from the IRS about my amended return. It didn't immediately resolve everything, but it got my return assigned to an actual person who I could follow up with directly. And it didn't cost me anything!

I worked for a tax resolution firm for 5 yrs. Here's what actually happens with amended returns: They sit in batches until an examiner has time to review them. The "30 day" response is literally a script they're required to say when no updates exist. For military families, there's a special IRS Military Tax Consultant line at 1-866-562-5227 that can sometimes help expedite. Before paying an attorney $250+/hr, try this free resource first. Tbh, most attys just call this same number anyway and charge you for it.

Just got mine too! Also with Chime and same DDD. Here's what I've noticed over the past few years: • 2022: DDD on Friday, deposit Wednesday evening • 2023: DDD on Friday, deposit Wednesday afternoon • 2024: DDD on Friday (3/8), deposit Wednesday evening (3/6) Seems like Chime consistently releases 2 days early for IRS refunds. So grateful for this community sharing their experiences - helped me plan accordingly instead of checking my account every 5 minutes!

Is anyone else concerned about how these early deposit features might affect future IRS processing? What happens if the IRS decides to implement last-minute adjustments after the ACH notification but before the official DDD? Couldn't this potentially create situations where people receive incorrect refund amounts that then need to be clawed back? I've seen horror stories of the IRS demanding repayment with interest and penalties when they've overpaid. Are these fintech banks potentially setting up their customers for problems down the line?

If you're really struggling, you might possibly want to consider looking into an Offer in Compromise instead of just hardship status. It could potentially allow you to settle your tax debt for less than the full amount if you qualify. The form for that is 656, but you'll still need to complete the 433 series forms as part of the application process.

I filed for hardship status on January 12th this year after losing my job in December. Completed Form 433-F with all my documentation showing I had essentially no income beyond unemployment benefits. Got approved on February 8th and collections immediately stopped. They'll review my case again in 6 months, but by then I should be back on my feet with my new job starting next month. Don't listen to people saying the IRS won't work with you - they actually have reasonable hardship programs if you document everything properly.