Like many of the more recent batches, this newest batch again sees the IRS focusing its efforts on sending payments out to those people whose eligibility for stimulus payments is dependent on the agency’s processing of their 2020 tax returns.
Tax Refund Never Came In? Good Luck (It Could Take Many Weeks)
The backlog of unprocessed tax returns has resulted in delays in the distribution of refund payments by up to 6-8 weeks. This has even impacted those people who filed their 2020 returns early.
The extended tax day deadline for filing 2020 tax returns has now come and gone. But for the IRS, much work remains as it continues to work through a backlog of unprocessed tax returns. This, in turn, is delaying the distribution of refunds for many Americans, including those who filed their tax returns early.
This backlog is the result of a number of compounding challenges facing the IRS. In addition to working on 2020 returns, for example, the IRS has been working through a number of 2019 tax returns that the agency was unable to process last year. This was the result of the temporary shutdown of tax processing centers last summer due to the COVID-19 pandemic, as well as ongoing limited capacity at those centers even after they
Audits may be on the decline but they still occur.
Here s What You Need to Remember: If you’re worried about an audit, then be honest and use tax prep software such as TurboTax or hire a professional tax preparer. That should help you stay clear of the audits.
One of the greatest fears for taxpayers is facing an audit. Fortunately, provided you file on top and are careful not to make mistakes, you should never actually face an audit. In fact, just one percent of Americans are audited each year, and that figure is still typically weighted towards those with higher incomes.
Out of everything you can do, we wouldn’t recommend calling the IRS.
Here s What You Need to Remember: To track your refund, you’ll need your Social Security Number, your filing status, and your total refund amount, excluding cents. By entering all of these into the IRS’ “Where’s My Refund” tool, you will be given the status of your refund. Otherwise, you’ll get an error message.
The final tax deadline, usually April 15, has been moved back to May 17 for 2020 returns. If you haven’t sent in your 2020 taxes yet, you have roughly a week to get it in order. If this is impossible, never fear; it’s fairly easy to request an extension with the IRS.