Delay in issuing federal tax returns?

5 years ago

Is anyone else experiencing a delay in getting their federal tax refund? I filed electronically over a month ago, April 16 to be exact, and the IRS accepted the return. The IRS says the normal turn around time is 21 days, but mine is still being processed. There is nothing particularly thorny about it. Anyone else in the same boat?

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Elmer J Fudd

5 years ago

last modified: 5 years ago

I'm sorry you reacted as you did, it surely wasn't my intent to provoke you. I said that a preparer error was a possibility. And also suggested that the fact that it was filed electronically was likely not a factor.

Most tax return preparers at a general public, retail level are not very capable and have inadequate quality control. Most of the time, they don't need to be better than sub-par, but that's no excuse.

A couple of months ago, I got a letter from the IRS informing me that I was obligated to file a tax return and should do so immediately. (I sent it in in hard copy last summer, I'll say why in a moment). I responded with details of where and when the return had been mailed and asked what else might I do to help them. I got a reply pretty quickly, telling me that I had to file a return and I should send it in asap to avoid more problems. So I sent in a copy and repeated the details of when and how it had been mailed almost 8 months earlier. I've heard nothing further. The processing of this return will result in a credit to 2021 estimated tax, not a refund.

Why I mail in my return? Because I'm prohibited from e-filing. About 6 years ago, someone fraudulently filed a return with our names and SS numbers using an address a few thousand miles away and requested a refund. Part of the IRS's screening procedures involves following up on a sampling of address changes to see if they can validate the new address by other means. In the case of this fraudulent return, there were unable to, and so my account was blocked. I learned about it when I tried to e-file my return some months later and it wouldn't be accepted. With letters, phone calls, and then finally an in-person meeting, I've been unable to release their block on my account.I am permanently prohibited from e-filing so I must mail in hard copy returns, federal and state (you can only e-file with most states if you've e-filed your fed return). I have not had an identity theft activity happening with my credit cards or other financial accounts, not ever. Just with the IRS.

Why the long story? To share the IRS experiences that I, a retired CPA, deal with. There have been more. I respect the job the IRS has to do and they're given an impossible task - not enough money, not capable enough workers, not enough time, not modern enough IT equipment. I think many try their best but I KNOW many don't. Sometimes even their best isn't very good.

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Comments (39)

LoneJack Zn 6a, KC
5 years ago
From what I read a few weeks ago the IRS still hasn't completely finished processing 2019 tax returns. I filed my 2019 taxes at the July 15 deadline last year and didn't receive my deposit until December 2020. They also sent me a $48 check for interest on the amount.

I filed my 2020 taxes on May 13 this year and don't expect to receive my deposit until fall or later.
Angela Id
5 years ago
Wow! I got mine about 10 days after filing.
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Elizabeth
5 years ago
I got mine about 2 weeks later. Perhaps it depends on what software you used?
maifleur03
5 years ago
Even back in December IRS published warnings that things would be very behind because of all the checks that they were issuing. Knowing that I did my usual and prepared so that when IRS started accepting returns I filed. It did take longer, 3 weeks, than normal for my small refund to reach the bank. I did find it interesting that when I checked after seeing the refund IRS still showed it was being processed.
User
5 years ago
I also mark the apply my taxes to next year and put the full amount and yet they insist on sending me a check half the time. Wish there was a way to return the check instead of having to write another one to cover their mistake. Apply to next year as the default would be so much easier and discourage all the problems with identity theft.
sushipup1
5 years ago
There's a web page for this question

https://www.irs.gov/refunds
foodonastump
5 years ago
Filed 4/27, refund 5/7.
Kathsgrdn
5 years ago
No, I think it took about a month or so.
Elmer J Fudd
5 years ago
"I also mark the apply my taxes to next year and put the full amount and yet they insist on sending me a check half the time. Wish there was a way to return the check instead of having to write another one to cover their mistake."

I repeatedly had similar experiences for a stretch of years, though not recently. For those who file their returns early in the season, getting an unrequested check, cashing it, and then adding the amount to what had been the intended 1st quarter estimated tax payment (or making a supplemental 1st quarter payment) leads to the same result without much inconvenience.

I typically file my return at the end of the summer and a refund rather than requested credit of overpayments can lead to underpayment of estimated tax penalties. Several times, in such cases, I sent the IRS a copy of the unrequested and uncashed refund check and asked that payment be stopped on it and the funds applied to estimated tax for the year in progress, as had been indicated on the return. I think I did this three times and each time they were able to correct their mistake in the way I described.
matthias_lang
5 years ago
Hmm, I filed in February. I think it was just three weeks later that I got my refund.
Elmer J Fudd
5 years ago
One perhaps peripheral factor that may affect some -

The IRS is permanently closing its Fresno, CA service center a few weeks from now. It's been an important node of the IRS's taxpayer processing system for decades. At its peak, it provided employment to several thousand people. Those remaining as of now know that their jobs will end in June and they're probably not working with their normal efficiency.

On the other hand, part of what has led to the reduction of service center employees is the rise e-filing. Still, the returns are often subject to eyeball review and those people need to be somewhere. IRS staff moral is down following the political and funding attacks during the past administration. Hopefully it'll recover, they perform a very important function for all of us.
lucillle
5 years ago
last modified: 5 years ago
I received my refund very fast this year. Graywings, there is, I hear, a lot of fraud going on with tax returns. I wonder whether some fraudster filed for your refund before you did, and the IRS is trying to straighten it out? I hope it gets processed and refunded to you soon.
carolb_w_fl_coastal_9/10
5 years ago
last modified: 5 years ago
FWIW, there's been reporting about just how much the IRS has been degraded over the past decade. They are woefully underfunded and understaffed because of cuts upon cuts upon cuts, so much that they are now unable to operate efficiently.

And the stimulus payments they were tasked with distributing impacted processing tax returns.

Like everything else lately, delays can be expected, I believe.

I'm another who e-filed - pretty early in fact. I completed it a week ahead and it was automatically submitted on the first day. I received my refund via direct deposit within a couple of weeks, however my taxes are very simple and I have no itemized deductions, etc..
dedtired
5 years ago
I filed in early April and just got a letter saying my refund would be applied to next year’s taxes.
Lukki Irish
5 years ago
All I can say is, don’t hold your breath...I’m still waiting to get last years refund, but I’ve already received this years. I submitted it around the first of May and It was received about 10 days later. I really hope it shows up soon so you don’t run into the issues I’ve had to go through.
Elmer J Fudd
5 years ago
lukki, something's wrong. If you've had no communication from the IRS, there's a procedure to track down a delinquent refund. Have you contacted them about this? If you have received correspondence from the IRS, is there more to the story you haven't shared?
maifleur03
5 years ago
This is what I wrote then I looked to verify before posting. "While there may be more fraud this year there are a good number of people who are not aware that unemployment payments are taxed as income" Good thing I looked because of this story that I found. Apparently people who did report it as income are receiving a refund up to a certain amount. People who receive this may need to file amended state taxes.

Link: What you need to know about unemployment tax refund, IRS timeline and more - CNET
OutsidePlaying
5 years ago
We e-filed and received an acceptance on April 6 and we still haven’t received our refund.

About a month ago I had read something about delays in receiving refunds. The article cited a link to the IRS website (IRS Where’s My Refund) for checking refund status. When I tried to obtain status via that link, our refund info could not be found. Strange. And now where do you go for info?
jane__ny
5 years ago
Got ours in 2 weeks after filing May18.

Jane
bragu_DSM 5
5 years ago
it has been a month, nothing yet
arcy_gw
5 years ago
We had heard of delays back in February when we filed but got ours processed with in two weeks as per their normal for us.
Elmer J Fudd
5 years ago
last modified: 5 years ago
For lukki:

Two responses - first, mentioning now (but not before) that an invalid address for you was used on the return significantly changes the context of your comment ".I’m still waiting to get last years refund, but I’ve already received this years.". You didn't get it because the wrong address was on the return, not because of an IRS problem as your first comment implied to readers even if unintentionally so.

And, you may have been told this "but I guess since we do everything electronically, he didn’t change it on the returns" but it isn't the case. The address input line in any return software is a changeable field each and every year. Either you didn't tell him of your new address, or he had it and didn't change it. It has nothing to do with it being electronic - if you filed paper returns, it would be the same issue. Was the return prepared and filed showing a defunct address? Was the preparer given a new one and they forgot to use it? Or not given the change?

Good luck, I hope you get your refund soon.
outpaientzero
5 years ago
last modified: 5 years ago
graywings123, maybe your return was flagged for a human review. Is there anything complicated or questionable about your return you'd like to share? Large Charitable or political contributions which would raise a flag?
Elmer J Fudd
5 years ago
last modified: 5 years ago
I thought political contributions aren't tax deductible. Other than the $3 checkoff for presidential campaigns that I think most people say "No" to.
PKponder TX Z7B
5 years ago
We filed in early April and are still waiting for our refund also. I was under the impression that it was related to our missing stimulus payments.
Lukki Irish
5 years ago
last modified: 5 years ago
OMG Elmer, I mistakenly THOUGHT you were going to be helpful. I am no longer going to answer questions from you...it’s just not worth the aggrevation.

My taxes took 9 FREAKING MONTHS to be processed, THEIR FAULT, not mine. THEY were supposed to send it electronically THEIR FAULT not mine. IF YOU REALLY READ MY RESPONSE YOU’D KNOW THAT .YES, I GAVE HIM THE NEW INFORMATION, his fault not mine, I paid the fee for them to be done properly and my new person found more than one oversite. My fault for thinking he was a professional business owner and would do his job the way it is supposed to be done. Looks like it was another live and learn experience.
graywings123
Original Author
5 years ago
I would hate to have to submit a paper copy of my fed taxes. Permanently prohibited from e-filing - yowsa! I'm surprised they can do that.

Kevin, I have a fairly simple tax submission. Not high retirement income, mortgage deduction, some charitable deductions, and investment income that Charles Schwab magically inserts into the H&R Block program. That last item is the only possible explanation I can come up with.
amylou321
5 years ago
This year was the first year I had to pay. They wasted zero time taking that 4 grand outta my bank account. I mean, less than 2 days later they had their money. And I was warned that I still may receive a letter demanding payment because their systems cannot keep up. That is something I can not fathom. How can your system accept my return, take the money less than 2 days after it was accepted, but then the failure comes when its time to SHOW THAT THE TAXES ARE PAID IN FULL? Someone explain that to me. However, I have not yet received such a demand. I am anticipating a problem when I file next year and its time for them to pay up. I was told they may try to hold it ransom to go towards the taxes I paid but they don't show that I paid because their systems are "slow." Sounds like a scam to me....

But I will withhold my ire until it actually happens. I was annoyed to be warned that it may,as its clearly a common problem......
JoanMN
5 years ago
We don't have to pay any taxes, but we file every year because of getting IRA disbursements. Even though I filed our 2020 taxes asap, we are STILL waiting on stimulus check 2 and 3. We got a letter saying number 2 was sent, way back in February. I put a trace on it, but have heard nothing.
Elmer J Fudd
5 years ago
"I would hate to have to submit a paper copy of my fed taxes. Permanently prohibited from e-filing - yowsa! I'm surprised they can do that."

Indeed, thanks. E-filing is so convenient. It's a hassle by comparison to have to mail in hard copies. As my experience with last year's return described above demonstrates, it's clear that the needless obstacles a hard copy must pass through before arriving where it's processed can waylay its journey. Whether the mail, manual mishandling, data entry mistakes, whatever it was, it's all those possible problems that e-filing bypasses that can cause a hiccup.
sal 60 Hanzlik
5 years ago
we filed by mail and received our check with in 2 months.
PKponder TX Z7B
5 years ago
@Elmer, after several years of paper filing because of identity fraud the IRS started issuing me a yearly pin number so that I can e-file again. Maybe that will happen for you as well.
Elmer J Fudd
5 years ago
Wow, thank you!. The in-person meeting in which I was told "No, No, a thousand times No" was my last major effort, I figured that was it. I'd followed up a few times in the ensuing years only to be given the same response. I accepted my fate and dropped it.

Nothing lost in trying again. Did you contact them by phone or by mail to a Service Center?

At one time, I was dealing with a fraud department that I think was in Austin but I didn't keep the correspondence or the contact information. The Service Center for my area has long been in Fresno but that's closing in 2 weeks and its functions transferred to Ogden. Absent other alternatives, I'd use that address for a letter.

Thanks again PK!
samkarenorkaren
5 years ago
I got federal within a week. I'm still waiting for state refund. It's still being processed.
PKponder TX Z7B
5 years ago
last modified: 5 years ago
@Elmer, I never thought that I'd be able to e-file again. They surprised me by sending a letter and letting me know that going forward they would issue a yearly pin for e-filing purposes. I believe that I was working with the fraud department in Kansas City, KS and that's the office that issues my pin. It wasn't Texas. I'll pm their address.
raee_gw zone 5b-6a Ohio
5 years ago
The IRS started sending me a PIN yearly after the Home Depot credit hack - I don't recall having done anything other than put a fraud alert on my records with the credit reporting agencies, and in fact no fraud has ever happened (that I am aware of!)
Elmer J Fudd
5 years ago
Thanks PK for the useful info, I will follow up.

As mentioned above, neither at the time, not before nor since have I experienced any other unauthorized activity with my name, SSN, or financial and credit card accounts. It was a one-off thing that caused no loss or major issue, just a mild inconvenience for return filing.
jewelisfabulous
5 years ago
I filed taxes in late March as an executor for the deceased. The refund expected is the March 2020 stimulus that the deceased never received by the time of death in December. The CPA who prepared the return stated that the IRS is overwhelmed and not to expect the refund for 4-6 months.

Delay in issuing federal tax returns?

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