A tax refund can make many small home improvement projects possible. According to the IRS, the average refund for tax year 2021 is expected to be more than $3,000, which is more than enough budget to paint a room, add a feature wall, or improve your home’s security. Home improvement projects that typically cost less than the average tax refund and can be completed quickly include adding a kitchen island; painting a house; adding a tile backsplash; replacing bathroom amenities such as cabinets, sinks, and fixtures; installing wainscoting, and upgrading a sump pump. Learn about home improvement projects that can be completed with a tax refund.