Eileen Welsh Eng, CPA, EA

Treasury Issues Warning Going into Tax Season

Treasury Department officials took the preemptive step on Monday of warning taxpayers that the upcoming tax season, which begins on January 24 and will run through April 18, will be messy and could see delays.

Pointing to staffing shortages and paperwork backlogs, officials said taxpayers will likely face frustrations similar to those of last year’s tax season. Potential problem areas include delays in the processing of refunds and returns as well as difficulty in reaching IRS.

As of mid-November 2021, the IRS had a backlog of roughly 8.6 million returns left to process. In a separate statement, IRS Commissioner Charles Rettig said IRS is not able to provide the level of service taxpayers deserve and said that more resources for the agency are essential.

Tax deadline for personal returns is 5/17/21. Please contact me if you have questions or need tax services.

Some good tips from the IRS about gathering your tax information and records. Take a look at the steps to access your IRS tax account, including the stimulus amounts and dates (Economic Impact Payments).

COVID Tax Tip 2021-16: The first step of tax preparation is gathering records As taxpayers get ready to file their 2020 tax return, they should start by gathering their records. Taxpayers should gather all year-end income documents to help ensure they file a complete and accurate 2020 tax return and avoid refund delays.