Filed an Individual Tax Return (Form 1040), a Business Tax Return or an Amended Return
The IRS has made significant progress in opening backlogged mail. While, as of November 24, 2020, they had 7.1 million unprocessed individual tax returns and 2.3 million unprocessed business returns, the IRS expects to issue all refunds for 2019 individual tax returns in 2020 where there are no issues with the return.
For refunds that cannot be issued in 2020 because the tax return is being corrected, reviewed, or awaiting correspondence from a taxpayer, the refund will be issued as a paper check in 2021 per normal processes.
Taxpayers are encouraged to continue to check Where’s My Refund for their personalized refund status. Have more questions? Here are some FAQ’s from the IRS:
How long you may have to wait:
It depends on where you sent your tax return and where it is in the process. In some locations, the IRS is caught up or almost caught up. In other locations they are processing returns received over the summer due to the extended July 15 tax filing due date and, in some cases, are processing tax returns dated as early as April 15, 2020.
However, the IRS is rerouting tax returns and taxpayer correspondence from locations that are behind to locations where more staff is available, and taking other actions to reduce this backlog.
Tax returns are opened in the order it is received. As the return is processed, it may be delayed because it has a mistake, is missing information, or there is suspected identity theft or fraud.
If the IRS can fix it without contacting you, they will. If they need more information or need you to verify that it was you who sent the tax return, you will receive a letter. The resolution of these issues depends on how quickly and accurately you respond, and the IRS staff trained and working under social distancing requirements to complete the processing of your return.
What you should do:
Unfortunately, other than responding to any requests for information promptly, there’s no action you can take. The IRS is working hard to get through the backlog. Please don’t file a second tax return or contact the IRS about the status of your return.
If you sent a check:
If you mailed a check, it may be in the backlog of unopened mail. We’re opening mail as quickly as possible and expect to process any checks within 60 days of its arrival.
What you should do:
The iRS will apply your payment on the date it was received, not the date it was processed. To avoid penalties for a late payment:
- Don’t cancel your check
- Make sure you have funds available to cover it
The IRS is forgiving Dishonored Check Penalties if your check doesn’t clear because of processing delays. This applies to payments received starting March 1, 2020, and may extend through December 31, 2020. Interest and other types of penalties may still apply.
See IRS Direct Pay for other ways to make a payment.
As always, should you have any questions or concerns regarding your tax situation please feel free to contact us.
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