Despite popular belief, the amount received on an individual tax return isn’t determined by the economic condition of the state. Furthermore, the size and population of a state also do not help determine an individual tax returns refund amount.
This was particularly true in tax season 2022 when different states received different amounts of Covid-19 relief from the federal government.
Overview
According to Accounting Today, the top five states in their ranking had an average individual refund of $1,742.80 during tax season in 2022. Not including Covid funds, the average traditional refund for these top 5 states was $1,665. The following is a breakdown of these five states individually.
5 – Alaska
- Average Refund: $1,708
- Average Traditional Refund: $1,666
- Average Economic Impact Payment: $1,781
- Average Advanced Child Tax Credit Program: $1,398
4 – North Dakota
- Average Refund: $1,713
- Average Traditional Refund: $1,660
- Average Economic Impact Payment: $1,797
- Average Advanced Child Tax Credit Program: $1,372
3 – Texas
- Average Refund: $1,748
- Average Traditional Refund: $1,722
- Average Economic Impact Payment: $1,833
- Average Advanced Child Tax Credit Program: $1,300
2 – Wyoming
- Average Refund: $1,762
- Average Traditional Refund: $1,735
- Average Economic Impact Payment: $1,827
- Average Advanced Child Tax Credit: $1,832
1 – Utah
- Average Refund: $1,783
- Average Traditional Refund: $1,542
- Average Economic Impact Payment: $2,024
- Average Advanced Child Tax Credit Program: $1,524
Wrap Up
While these numbers are a good look back into last year, they also give a hint of who the biggest refund states may be for tax season 2023.