- The average federal tax refund in America is $2,895, but the figure varies by state.
- In Texas, Oklahoma, and Louisiana, the average tax refund tops $3,000.
- Eight of the 10 states with the lowest average tax refund border Canada.
You can now submit your tax return and wait for your refund.
Last year, the IRS sent $324 billion back to taxpayers. Nearly eight out of 10 received a tax refund worth an average of $2,895.
SmartAsset analyzed 2016 data from the IRS to find the average federal tax refund in each state and Washington, DC. To do so, it looked at the total income tax refund for each state and divided it by the number of refunds there.
Maine had the lowest average tax refund, with $2,302, while Texas had the highest, with an average of $3,133. Northern states were more likely to receive smaller tax refunds — eight of the 10 states with the lowest refunds share a border with Canada.
California, the most populous state in America, led the way with the most refunds and largest total amount in refunds but missed the top 10 in average refunds, coming in at No. 13. Wyoming, the least populous, had the fewest refunds, but residents had the 11th-highest average tax refund.
Getting a smaller tax refund may be a smart move, says Lauren Lyons Cole, a senior editor at Business Insider and a certified financial planner. She says that overpaying your tax bill by withholding too much from your paycheck is basically an interest-free loan to the government.
Scroll through to see how much the average person gets back in every state, ordered from the biggest federal tax refund to the smallest. We also included the total amount in tax refunds in each state and the number of federal tax refunds received.
Texas
Average refund: $3,133
Number of refunds: 10,148,743
Total income tax refunded: $31.8 billion
Oklahoma
Average refund: $3,088
Number of refunds: 1,321,650
Total income tax refunded: $4.1 billion
Louisiana
Average refund: $3,073
Number of refunds: 1,651,207
Total income tax refunded: $5.1 billion
See the rest of the story at INSIDER
0 Comments