Why IRS Tax Refunds After Death Can Take Over a Year and What You Should Do

Losing a loved one is hard enough, but some are still forced to deal with the IRS more than a year later, data shows.

After a person’s death, it took the Internal Revenue Service an average of 444 calendar days to issue refunds due to the deceased’s beneficiaries from January 2021 to July 2024, according to last year’s report by the Auditor General of the Tax Administration, or TIGTA. That’s compared to the 21 days the IRS says it takes most Americans to get their refund during the regular tax season when they file electronically and use direct deposit.

Like everyone else, survivors may be looking forward to a refund to help defray expenses, including those related to closing an estate or adding to an estate, experts say. As of July 2024, the IRS reported 440,443 cases where refunds were due to a deceased taxpayer’s account. Together, the refunds totaled more than $1.3 billion. Nine percent of returns due were over 2 years old, 43% between 1 and 2 years old and 49% up to 1 year old.

“Losing a loved one is difficult and filing a final tax return should not cause an unnecessary burden at a difficult time,” the National Taxpayer Advocate (NTA), an independent ombudsman for taxpayers, wrote in a blog.

Why do refunds after death take so long?

IRS Form 1310 to claim a federal tax refund on behalf of a deceased taxpayer generally needs to be filed with the decedent’s tax return, unless you are a surviving spouse filing an original or amended joint return seeking a refund, or a court-certified personal representative.

Form 1310 starts a manual process within the IRS to process a refund, and problems can arise when refunds are handled manually, TIGTA said.

What is being done to speed up refunds?

The IRS reduced the backlog. As of August 2025, more than 70% of the backlog had been cleared, with about 1,100 benefits still waiting to be processed, according to the NTA.

Additionally, for this year’s 2025 tax filing, the IRS has implemented a plan to eliminate or greatly reduce the need for in-person refunds for those seeking refunds for deceased taxpayers, TIGTA said. The changes include allowing for scheduled refunds once the Form 1310 has been processed or any other lost information has been secured, the ability to find and prioritize elderly cases, and better training of staff to process returns for deceased persons.

What can Americans do before they die to lighten the burden?

While you can’t control the processing of the IRS or any financial institutions you may need to request information from, there are steps people can take to speed up their tax return process, experts say.

One of the biggest hurdles for people is finding the information needed to file a person’s tax return after death, said Colleen Carcone, Director of Wealth Planning Strategies at TIAA.

“In the past, we received all our tax forms by mail, so the person filing for the deceased could just wait for the mail to be picked up and be assured that they have all the tax information of the deceased,” he said. “Today, many tax forms are available online, making it difficult to know what information is available and how to access it.”

To make it easier for survivors, experts recommend that people take these steps while they are still alive:

• Keep detailed records. List all the information needed to fill out your tax form and how to get the information after you die. “One of the greatest gifts you can give your beneficiaries is to be organized, have an updated will and where all the accounts are so they don’t have to spend a lot of time figuring everything out,” said Tyler End, CEO and founder of retirement advisory firm Retirable.
• Combine accounts. Fewer bank and investment accounts mean fewer forms and tax return entries, making the filing process easier. “As a bonus, multiple accounts can make managing your assets easier, too,” says Carcone.
• List contacts who can help. Contact information for professionals such as accountants or financial advisors who will have the necessary information and can assist in filing the tax return. “You may need to get a CPA (certified public accountant) to help deal with this,” End said. “It’s not automatic tax filing.”
• Work with trained professionals. They can guide you and your loved ones through complex financial decisions and tax issues before death which will make the process after death more manageable. “A financial advisor is like the quarterback of the financial ecosystem,” End said. “It can be a resource that knows everything you have − life insurance, bank accounts, investment funds.”

Medora Lee is a money, markets and finance reporter for USA TODAY. You can find him at [email protected] and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday morning.

This article first appeared in USA TODAY: Why an IRS tax refund after death can take more than a year and what you should do

Reported by Medora Lee, USA TODAY / USA TODAY

USA TODAY Network via Reuters Connect