Currently, the IRS is dealing with a massive backlog of tax returns because of the ongoing pandemic.
The agency has hired new employees in response to the backlog, but the challenge is still difficult to overcome.
Millions of tax returns from last year have not been processed by the IRS, according to CNBC. As millions of taxpayers begin to file their returns, the IRS is dealing with a mountain of paperwork.
The agency must devise a strategy for dealing with the backlog. As of December 31, CNBC reported that the IRS had 6 million unprocessed returns, and that means taxpayers may have to wait longer than expected for their returns in 2021.
According to CNBC, the IRS only had 15,000 employees to handle 24 million customer calls in the first half of 2021. This equates to a single employee serving 16,000 clients.
The Internal Revenue Service (IRS) suggests that taxpayers use electronic filing methods instead of paper ones in order to speed up the process. Accordingly, the IRS is still going through each and every one of these returns one at a time.
The IRS will be relieved of a great deal of stress if they use the electronic method of verification. If you provide the wrong information when submitting tax returns, you could face several delays.
Also Read: Numerous Families Stand to Benefit from Revisions to The American Recovery Plan.
Recipients of Stimulus or Child Tax Credit funds are urged to double-check their tax returns. There have already been letters from the IRS requesting information about the amount of money they have received.
Beneficiaries must ensure that their filings contain all relevant information. Because of this, Americans now have until April 18 to file their taxes, rather than the previous deadline of April 15.
