Could the 2020 tax deadline be delayed? Both representatives from the Means Committee and the House Ways are calling upon Congress to extend the tax deadline for the IRS, taxpayers, and tax professionals to July 15. The reasoning behind this decision is that the total amount of tax returns filed by February 2021 have declined approximately 25 percent. With this being recognized, the decision to push back the tax deadline was due to the COVID-19 pandemic, and the impact it still had on the economy. The IRS is having issues as well, as their call response rate dropped 31 percent, which meant that they could not get all calls answered on a daily basis.
The IRS has been quite busy this year. The year 2021 started out with the IRS sending out $600 stimulus checks, and now they are gearing up to process more checks for the second round of the stimulus package that was just passed. Pushing the tax deadline would be beneficial as it will give both the IRS the ability to effectively respond to each person and their questions, but also allow them to effectively process all stimulus packages in an orderly fashion.
What does this mean for the taxpayer? As a taxpayer, you still have to submit your filings. Like how the 2019 tax deadline was extended, this will give every taxpayer more flexibility in submitting and paying their taxes. All Americans are going through some sort of economic hardship due to the pandemic, but this will allow each individual to have a little more to time to sort their personal finances.
The tax professionals at MBA Financial & Accounting Solutions are on your side. At MBAFAS, we are true professionals that are certified in tax and want to maximize your refund. Contact us today to find out how we can file your taxes.