IRS delays tax return processing
The Internal Revenue Service has announced it now plans to begin processing individual income tax returns on Jan. 30, eight days later than originally targeted.
The announcement means the vast majority of tax filers — more than 120 million households — should be able to start filing tax returns Jan. 30.
Refunds could be delayed to mid to late February.
“This has been an epic beginning to tax season 2013,” said CEO and founder of Liberty Tax Service, John Hewitt. “I’m starting my 44th tax season looking at the worst delays in filing I have ever seen.”
Due to the last-minute tax law changes made by Congress under the American Taxpayer Relief Act, the IRS has scrambled to update forms and make critical programming changes to its processing systems.
The IRS anticipates the remaining taxpayers will be able to start filing in late February and early March because of the needed changes on the more extensive forms and processing systems.
The IRS provides a full listing of the forms that are currently not being accepted on its website: IRS.gov.
The IRS emphasizes there is no advantage to filing on paper before Jan. 30. The agency also reiterates taxpayers will receive their tax refunds much faster by e-filing their return. More than 80 percent of taxpayers filed electronically last year.
Jan. 22 was the originally planned date the IRS set to open electronic filing this year.