Many people have been affected by the recent government shutdown. One group to experience negative effects of the shutdown will be early filers. Due to programmers having to finish updating the IRS computers, early filers will have to wait for their refunds for an extra week or two. It is necessary to program and test more than fifty IRS systems to handle the processing of nearly 150 million tax returns. This year taxpayers were allowed to start filing January 21st. As of now, the earliest taxpayers will be able to begin filing their return next year will be January 28. The date could possibly be set back even farther. However, taxpayers will still be required to respond to the filing deadline of April 15th, and companies are still required to send out W-2s on time.
Many taxpayers file their tax returns as early as possible to get their return as soon as possible. This year, the IRS issued more than $228 billion in refunds. Of the $228 billion in refunds, $135 billion was issued between January 30th and March 1st, even though the agency received fifty percent more returns between March 2nd and May 10th.
For anyone who likes to see that refund check early, you are encouraged to be as prepared as possible. Make sure to have all tax information ready and organized to ensure timely filing. Also, the IRS is encouraging taxpayers to file electronically to expedite the process.
*Thank you to Ashley Neel, Rotation Staff, for her contributions to this post.