We all have to go through the rigors of our yearly taxes, it’s one of the two things that are certain in this life. Let’s tackle a question for the ages as we wait for the best part of tax season– the refunds. Will tax returns be delayed?
The short answer--yes.
There have always been delays, and the pandemic has not made the situation any better. Stimulus checks, as well as new laws, such as the advanced child tax credit, and the delayed deadlines make for strange bedfellows.
Will this impact your returns?
Backlogs are Real. One truth of life– there has always been and always will be a backlog. The IRS usually has around a million in backlogs per year. It doesn’t look like it will go down any time soon. The number of employees in the IRS has not changed since the ’70s, and after 2021, the backlog just got bigger, reportedly ballooning to 6 million! Will the backlog affect your returns? Reading through the official website of the IRS, we get this– “The IRS issues more than 9 out of 10 refunds in less than 21 days.
However, it’s possible your tax return may require additional review and take longer. Something that is usually true for early filers. Now that we are in the clutch months of filing, and you have not filed yet, expect more delays, as backlogs increase. What causes the delays? Procrastination tops the list on why your returns will be late.
Everyone has, at one point in their lives, filed late. It’s a lesson we all need to learn. Although, there are other factors: Claiming Child Tax Credit or Earned Income Tax Credit. When you claim this, the IRS will need to review your claims much more thoroughly to rule out fraud. Math errors.
Yes, you should have listened to your 6th grade math teacher, now it’s coming back to haunt you. Simple wrong data and numbers entered will definitely be a cause of delay. Can we hasten the process?
Sure, there are ways you can make this tax return go more smoothly and pan out faster: File electronically. You can go to the IRS using the IRS Free File or Fillable Forms, a Tax Return Preparation Site, or use Commercial Software. Direct Deposit. This method allows you to get your refund faster, safer and directly to your account.
Check your math. Be precise, check it twice. File it now. It’s almost April, and filing late will mean late refunds. March on over to your computers. If you still have some misgivings and doubts about your return, Peter Witts CPA PC is just a quick chat away. We’ll help you prepare, check and double check, then electronically file your returns and set you up for direct deposit. It’s a win-win.
I’m Kristin, the PWCPA PC Customer Success Specialist. For more information about this topic, or any other, you can always reach me through our customer ticketing system.