With 2020 tax refunds wrapping up for the year, many Americans have still not received their returns. In fact, many families are still waiting on 2019 returns that have been backlogged by the Internal Revenue Service.
The IRS announced that they still have about 335,000 tax returns that have not been issued from the 2019 tax year. According to the IRS, it will take an estimated 60 days for the backlog to be resolved but no clear date has been set for when families can expect to see their returns as of yet.
In addition to the tax return backlogs, the IRS is also experiencing 6 million 2020 tax returns that are currently in suspension. Most of these suspensions are due to COVID-19 facility closures and required investigation of returns that claimed income amounts from 2019 and/or claimed missed stimulus check money.
In December, lawmakers passed provisions allowing taxpayers to use the income amount from their 2019 return if they would receive a larger payout on the Earned Income Tax Credit, this was mainly geared toward low and moderate-income families.
These types of claims have complicated the process and speed at which returns are reaching Americans because the IRS has to manually input the Earned Income Tax Credit from 2019 into their systems as well as confirm that the missed stimulus payments add up to the amount that was given to Americans.
The IRS is hoping that these delays and suspensions will be resolved soon so families who need their money can collect what they are owed. For more information and updates on IRS returns, visit their website to learn more.