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Tax Tip Tuesday from H&R Block-Things you should know about IRS delays


H&R Block Presents – THINGS YOU SHOULD KNOW ABOUT IRS DELAYS


As a result of COVID staffing issues and tax changes due to COVID, IRS is taking longer than normal to process returns this year. Taxpayers can check their 2020 return status by using the “Get Your Refund Status” link at IRS.GOV or on the IRS App IRS2GO. To check the status you will need your Social Security Number, Filing Status, and Refund Amount as shown on your tax return. If the refund shows a status of “being processed”, there is no further action you can take other than to continue to monitor the status on a weekly basis.

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Some reasons for the delay in processing returns are:
-RECOVERY REBATE CREDIT claimed on the return doesn’t match what IRS calculates.
-The lookback rule was applied to use PRIOR YEAR EARNED INCOME to calculate the Earned Income Credit and/or Additional Child Tax Credit.
-MAILED IN returns must be entered manually at IRS and are subject to additional delays due to the manual intervention.
-IDENTITY ISSUES cause some returns to be pulled from automated processing. When this happens, IRS will suspend processing and send a letter to the taxpayer at the address shown on the return. Processing will not continue until the taxpayer responds to the Identity Verification letter.
-If health insurance through the AFFORDABLE CARE ACT (Federal Marketplace health insurance) isn’t reported properly IRS will suspend processing and send a letter to the taxpayer at the address shown on the return. Processing will not continue until the taxpayer responds to the letter with the forms requested.

If you have received a letter from IRS or are concerned about the processing of your tax return and would like help from the Tax Professionals at H&R Block, please call 931-728-9462. H&R Block has your back in Manchester!

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