Tax refunds are 10.2% bigger than last year, with the average refund around $3,800

Group 1 - The IRS has processed over 41 million tax returns this year, with an average refund of $3,804, reflecting a 10.2% increase compared to the same week last year [1] - The total amount refunded has exceeded $109.33 billion as of February 20, marking a 6.9% increase from the previous year, attributed to tax changes from the One Big Beautiful Bill Act [2] - The IRS anticipates processing around 164 million individual tax returns for the 2025 tax year by the April 15 filing deadline [3] Group 2 - Taxpayers can still make prior-year contributions to a traditional IRA until the 2026 tax filing deadline, which can help reduce taxable income and potentially increase tax refunds [5] - For the 2025 tax year, the HSA contribution limits are set at $4,300 for individuals under 55 and $5,300 for those 55 and older, with family limits at $8,550 or $9,550 for those 55 and older [7] - The One Big Beautiful Bill Act introduced new tax deductions for 2025, including those for tips, overtime, and an increased child tax credit, which can significantly affect tax returns [10][11]