posted on Feb, 5 2013 @ 11:39 AM
reply to post by imawlinn
the fiscal cliff deal is the reason for the delays. the IRS had warned congress that delaying a deal would result in their inability to process the
majority of personal and corporate income tax returns. They delayed, now the IRS cannot process those returns. This, in itself, is a disaster for
many who rely on those refunds but, even worse, this means that the IRS will be delaying the essential revenue stream that is relied upon to help fund
so, they shot themselves in the foot. I wouldn't be surprised to find out that taxpayer refunds will be delayed as a result of the late filings.
there's a real good chance the government won't have the cash to issue the refunds on time and a system like the one NYS uses might be the result.
NYS allocates an amount of money each month for refunds. Refund recipients are on a list and they pay out refunds, until the fund is exhausted,
resulting in delays of several months to some taxpayers.
Another possible scenario is that the IRS extends the deadline. Given the month or so dead period of no filing, they will be flooded with filings
that might crush their system and it will, no doubt, create a backlog of work for the nations preparers.
The alternative, for those who do it themselves, is to paper file now and let the IRS sit on the return. They won't process it until they are
prepared to handle the paperwork but, in theory, they will process them in order of receipt, potentially putting your refund at the head of the line.