Definitive 2024 IRS Statistics of Income (SOI) data on refunds, filing volume, tax gap, preparer usage, and itemization rates — sourced from IRS Filing Season Reports and SOI Division publications.
By Ziv Shay | Published April 17, 2026 | Data: IRS SOI 2024, Filing Season Statistics
The IRS Statistics of Income (SOI) Division publishes the most authoritative dataset on American tax behavior each year. The figures below are drawn from the IRS 2024 Filing Season Statistics, SOI Bulletin 2024, and the IRS Tax Gap Projections for tax years 2021-2022. These numbers reveal how 163 million Americans interact with the federal tax system, how much they pay, how much they get back, and where the system leaks revenue.
Understanding tax statistics is not just academic. If you earn $75,000 and get a $1,800 refund, you are getting less back than the national average — which typically means either your withholding is well-calibrated (good) or you are leaving deductions on the table (bad). Comparing yourself to the 2026 tax brackets and national averages is one of the fastest ways to audit your own tax strategy.
The average 2024 refund of $3,138 masks enormous variation by income level. Higher earners get larger dollar refunds because they have more tax withheld, but lower earners often get larger refunds relative to their income thanks to refundable credits like the Earned Income Tax Credit (EITC) and Additional Child Tax Credit (ACTC).
| AGI Range | Avg Refund | Refund as % of AGI | Most Common Reason |
|---|---|---|---|
| Under $25,000 | $2,104 | ~12% | EITC & refundable credits |
| $25,000 – $50,000 | $2,752 | ~7.3% | Over-withholding, CTC |
| $50,000 – $75,000 | $3,107 | ~5.0% | Over-withholding |
| $75,000 – $100,000 | $3,511 | ~4.0% | Deductions, CTC |
| $100,000 – $200,000 | $4,290 | ~3.1% | Itemized deductions |
| $200,000 – $500,000 | $6,822 | ~2.1% | Complex withholding |
| $500,000+ | $18,450 | ~1.8% | Estimated tax overpayments |
Source: IRS SOI Tax Year 2022 Individual Income Tax Returns, Table 1.4
Compare your situation to these averages. Use our Federal Income Tax Calculator to estimate your 2026 refund based on current brackets and OBBBA changes.
California, Texas, and Florida together account for over 27% of all individual tax returns filed nationally. Return volume correlates with population but also with economic complexity — Washington DC, for example, has elevated filing rates per capita due to federal employment.
| State | Returns Filed (2024) | % of National Total | Avg AGI |
|---|---|---|---|
| California | 18.3M | 11.2% | $96,820 |
| Texas | 13.7M | 8.4% | $82,140 |
| Florida | 11.2M | 6.9% | $78,560 |
| New York | 10.1M | 6.2% | $101,250 |
| Pennsylvania | 6.7M | 4.1% | $76,430 |
| Illinois | 6.3M | 3.9% | $82,890 |
| Ohio | 5.9M | 3.6% | $69,120 |
| Georgia | 5.1M | 3.1% | $72,810 |
| North Carolina | 4.9M | 3.0% | $71,340 |
| Michigan | 4.8M | 2.9% | $69,870 |
Source: IRS Data Book 2024, Table 3 — Number of Returns by State
The "tax gap" is the IRS term for the difference between what taxpayers legally owe and what they actually pay on time. The most recent IRS projections (for tax years 2021-2022) place the gross tax gap at $696 billion per year. After late payments and enforcement activity, the net tax gap is approximately $625 billion. This is one of the largest sources of federal revenue loss.
| Component | Amount | % of Gap | Primary Cause |
|---|---|---|---|
| Underreporting | $539B | 77.4% | Self-employed, unreported income, pass-through entities |
| Underpayment | $94B | 13.5% | Unpaid balance after filing |
| Nonfiling | $63B | 9.1% | Returns not filed at all |
| Gross total | $696B | 100% | - |
Source: IRS Tax Gap Projections for Tax Years 2021 & 2022, released October 2024
The tax gap is dominated by underreporting of individual income — particularly business income flowing through Schedule C, Schedule E (rental & royalty), and pass-through entities where third-party reporting (W-2, 1099) is weak. Wage income, which is fully third-party reported, has a compliance rate above 99%.
Roughly 55% of individual returns are prepared by a paid professional — CPAs, Enrolled Agents, or other paid preparers. The remaining 45% are self-prepared, overwhelmingly using commercial software like TurboTax, H&R Block, TaxAct, or FreeTaxUSA.
| Preparation Method | Market Share | Typical Cost | Best For |
|---|---|---|---|
| Paid Preparer (CPA/EA) | 55% | $200 – $600 | Complex returns, self-employed, high income |
| DIY Tax Software | 38% | $0 – $130 | W-2 employees, simple itemizers |
| IRS Free File / VITA | 5% | Free | AGI under $84,000, simple returns |
| Paper Self-Filed | 2% | Free | Older filers, no internet access |
Within DIY software, the market is heavily concentrated: TurboTax holds ~62% market share, H&R Block ~18%, and smaller players (TaxAct, FreeTaxUSA, TaxSlayer) split the remaining 20%. See our TurboTax vs H&R Block comparison for a detailed feature breakdown.
The single most significant change to American tax behavior in the past decade came from the Tax Cuts and Jobs Act (TCJA) of 2017, which nearly doubled the standard deduction. Before 2018, about 30% of taxpayers itemized. After TCJA, that dropped to around 11%, and by 2022 it had fallen to 9.5%.
| Tax Year | % Itemizing | Standard Deduction (Single) | Change |
|---|---|---|---|
| 2016 (pre-TCJA) | 30.1% | $6,300 | baseline |
| 2018 (post-TCJA) | 11.4% | $12,000 | -62% itemizing |
| 2022 | 9.5% | $12,950 | Continued decline |
| 2026 (OBBBA proj.) | 14-16% | $16,100 | SALT $40K cap returns |
The OBBBA's increase of the SALT deduction cap from $10,000 to $40,000 is projected to reverse some of this trend. Homeowners in high-tax states (CA, NY, NJ, CT, IL, MA) who switched to the standard deduction after 2018 are expected to flip back to itemizing. Use our Standard vs Itemized Calculator to see which option saves you more.
151.7 million (93%) of 163.1M returns were e-filed. IRS Direct File (launched 2024) processed 140,803 returns in its pilot year across 12 states. E-filed returns with direct deposit are processed in an average of 10-21 days, compared to 6-8 weeks for paper returns.
The overall individual audit rate for tax year 2022 returns was 0.38% — roughly 1 in 263 returns. However, audit rates scale dramatically with income:
Tax statistics are most useful when you benchmark your own situation against them. Here is a simple 5-point self-audit using national averages:
$3,138 for the 2024 filing season, up 2.9% from $3,050 in 2023. The IRS issued 104.8 million refunds totaling $329 billion.
Approximately 163.1 million individual federal income tax returns were filed, 93% electronically. California led with ~18.3M returns.
The IRS estimates the gross tax gap at $696 billion annually (2021-2022). Net tax gap after enforcement is about $625 billion. Underreporting of income accounts for 77% of the gap.
Roughly 55% use a paid preparer (CPA, EA, or other), 38% use DIY software, 5% use IRS Free File/VITA, and 2% file paper returns.
Only 9.5% of taxpayers itemize post-TCJA, down from 30% before 2018. OBBBA's $40K SALT cap is projected to push itemization back to 14-16%.
See exactly how you compare to these national averages with our free calculators.
Federal Tax Calculator →Related: State Tax Rates 2026 | OBBBA Impact Stats | 2026 Tax Brackets | Deduction Finder | Standard vs Itemized
Tax calculations are estimates for educational and informational purposes only. This site does not provide tax, legal, or financial advice. Tax laws change frequently. Always consult a qualified tax professional for advice specific to your situation. Data sourced from IRS publications and official state tax authority websites.
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