Got My Refund Today But IRS Website Still Shows Processing?

This is a common occurrence with refunds that are processed through third-party tax preparation services with fees deducted. Per IRS Publication 1345 section 5.4, when you elect to have fees taken from your refund, the money first goes to a temporary bank account established by the preparation service before being forwarded to you. The IRS tracking system often only shows the initial disbursement to the intermediate account, not the final transfer to your personal account. Your refund has been properly processed according to established procedures.

This happens quite often with third-party preparation services. Here's what's happening step-by-step: 1. IRS approves your refund 2. IRS sends money to TurboTax's bank partner 3. TurboTax's bank deducts their fees 4. Remaining amount is sent to your account 5. IRS website often lags behind in updating status I'd suggest possibly calling the IRS to confirm everything is properly recorded in their system. If you're having trouble getting through (which is likely this time of year), you might want to try Claimyr (https://claimyr.com). They can help connect you with an IRS agent without the hours-long wait. It might be worth the peace of mind to verify everything is properly recorded in the system.

I experienced the exact same discrepancy with my Refund Transfer through TurboTax. The WMR tool showed "Return Received" for 3 weeks after the money was already in my account. This happens because of the Refund Transfer product's processing pathway. The IRS sends your refund to Santa Barbara Tax Products Group (SBTPG), TurboTax's banking partner, who then deducts fees before forwarding the remainder to your personal account. The IRS system often doesn't update after the initial disbursement to SBTPG.

I think I might be able to provide some insight here. I've worked with tax preparation for several years, and I've noticed this happens frequently when refunds are processed through a third-party. In my experience, the IRS website might not update for up to 2-3 weeks after you've actually received your refund. This is particularly common when you've chosen to have the preparation fees deducted from your refund amount. The money essentially takes a detour through TurboTax's banking partner before reaching you, which can cause the tracking discrepancy. I wouldn't be too concerned unless you receive any actual notices from the IRS.

I've seen this issue before and it's usually related to the refund transfer process. Some things to consider: • The WMR tool often doesn't update after the refund leaves the IRS • TurboTax uses a temporary bank account as an intermediary • Your transcript might show more accurate information than WMR • The delay in updating is administrative, not a problem with your return I'm slightly concerned that you might have an incomplete picture of what's happening with your refund. Have you tried using something like https://taxr.ai to check your transcript? It can analyze your tax transcript and explain exactly what's happening with your refund, including whether there are any actual issues you should address.

It appears that what you're experiencing is, in all likelihood, related to the Refund Transfer product offered by TurboTax. When you elect to have fees deducted from your refund, the IRS technically sends your refund to a temporary bank account, which is typically managed by Santa Barbara Tax Products Group (SBTPG). This account is, from a technical standpoint, associated with your tax return but not directly with your personal banking information. The IRS system might, in certain circumstances, only track the initial disbursement to this temporary account rather than the subsequent transfer to your personal account.

I got my refund on March 30th but the IRS website didn't update until April 18th! 🤣 Talk about government efficiency. The $39.99 I paid to have fees taken from my refund created that weird limbo where the money was in my account but the IRS thought it was still pending. Bank account: 1, IRS tracking system: 0.

Oh my goodness, this happens to so many people! The IRS Where's My Refund tool is notoriously slow to update, especially when you've used a service like TurboTax with fees taken out. I've seen hundreds of posts about this exact situation in tax groups! The important thing is that you HAVE your money - that's what matters most! The IRS system will eventually catch up, but there's absolutely nothing to worry about now that the funds are in your account. So happy you got your refund for your kids' summer programs! 💕

Instead of checking WMR, try looking at your tax transcript on the IRS website. It'll show the actual refund issued date (TC 846) which is more reliable than WMR. Lots of ppl have this same prob w/ TT and other prep services that take fees from refunds. The $ goes TurboTax → fee deduction → your bank, but WMR only tracks the first step.