Mon Feb 24 13:00:00 UTC 2025: ## Tax Season Slowdown Amidst IRS Turmoil and Data Privacy Concerns

**Washington, D.C. –** The 2025 tax filing season is off to a significantly slower start than previous years, raising concerns among taxpayers and prompting questions about the Internal Revenue Service’s (IRS) preparedness. Data from the week ending February 14th reveals a substantial drop across the board: a 4.9% decrease in tax returns received compared to 2024, a similar decline in processed returns, and a dramatic 34.6% reduction in issued tax refunds. The average refund amount also plummeted by 32.4%, dropping from $3,207 in 2024 to $2,169 in 2025.

While the IRS attributes the slowdown to typical seasonal fluctuations, the agency’s current state of turmoil casts doubt on this explanation. The IRS is currently operating without a permanent commissioner, and recent mass firings of over 6,000 employees—including those in media and communications—have further exacerbated the situation. A Trump administration hiring freeze and the potential deployment of IRS agents to the border for immigration enforcement have added to the uncertainty and anxiety among taxpayers.

Adding to the public’s apprehension are concerns about data privacy. Elon Musk’s Department of Government Efficiency (DOGE) recently requested access to sensitive taxpayer data within the IRS’s Integrated Data Retrieval System (IDRS), sparking outrage and legal challenges. While a temporary court order has curbed DOGE’s access, the incident has shaken public trust.

The decline in tax filings is mirrored by a dramatic 46.3% drop in website visits to IRS.gov, likely due to a combination of factors, including the staffing cuts, lack of website updates, and the general uncertainty surrounding the agency. The IRS claims that filing numbers will eventually normalize, but the current climate of instability and data privacy concerns has understandably deterred many taxpayers from filing early. The impact of the delayed release of Earned Income Tax Credit (EITC) and Additional Child Tax Credit (ACTC) refunds, which will begin to be issued next week, remains to be seen. The situation remains fluid and further updates will be provided as the tax season progresses.

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