The Internal Revenue Service (IRS) announced that it would suspend the mailing of more than a dozen additional letters, including the mailing of automated collection notices, which are typically sent to taxpayers who owe money but have not filed a tax return, as well as the mailing of automated collection notices to businesses.
In the midst of dealing with a backlog of several million original and revised tax returns from people and businesses as a result of the coronavirus (COVID-19) outbreak, the IRS has decided to suspend operations.
According to the IRS, some of these returns are being held up in processing delays, and the collection letters are causing uncertainty among taxpayers.
Commissioner Chuck Rettig of the Internal Revenue Service stated, “Our efforts are not confined to the suspension of these more letters and the prospect of similar steps in the future.”
“We have redeployed and redistributed resources across the IRS, and we have employed new solutions in a continuing attempt to offer a meaningful reduction in our inventory,” says the IRS. “
The automatic notices, which include the balance due notices and notices of unfiled tax returns, have been temporarily halted while the backlog is being worked through, according to the IRS. The Internal Revenue Service is continuing to evaluate the inventory of prior year returns in order to decide when it will be acceptable to resume the notices.
Some individuals and tax professionals may still receive these notices in the coming weeks, depending on their location. According to the agency, as long as the IRS continues to process returns as swiftly as feasible, there is no need to call or reply to the notice.
However, if you believe a warning is accurate, you should take action immediately to avoid the accumulation of interest and penalties.
You can see a complete list of suspended notifications by visiting this page.
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It is necessary to complete a 2021 tax return and pay any taxes owed by Monday, April 18, in order to avoid penalties and interest. Tax deadlines for everyone are affected by Washington, D.C., whose holidays are treated the same as federal holidays under the law.
Due to the Emancipation Day holiday in the District of Columbia, the submission deadline has been moved from April 15 to April 18.
The Internal Revenue Service (IRS) encourages everyone to ensure that they have all of the information they need in order to file a complete and correct return. Making sure your tax return is complete and precise might help you prevent delays in processing, refund delays, and IRS notices later on.
It anticipates that the vast majority of individuals will file their taxes electronically. Filing your income tax return electronically and selecting direct deposit is the quickest and safest way to ensure that your return is accurate and that you receive your refund.
The vast majority of refunds are processed in less than 21 days, however, some tax returns require further examination and may take longer to process than others, so please be patient.
If a tax return containing errors is incomplete or has been compromised by identity theft or fraud, this may be essential.