Recently Passed Law to Delay Certain Refunds in 2017

On December 18, 2015, President Obama signed into law the Protecting Americans from Tax Hikes Act of 2015 (i.e. the PATH Act). The provisions of this law will have major implications for taxpayers claiming both the Additional Child Tax Credit (CTC) and the Earned Income Tax Credit (EITC). The PATH Act requires the IRS to delay refunds in 2017 for taxpayers who claim the Earned Income Tax Credit or Additional Child Tax Credit. According to this new law, the IRS is not permitted to release these refunds until February 15, 2017.