The Notorious IRS – Mo’ Money Mo’ Problems

IRSThe IRS has a mo’ money mo’ problems problem. Or maybe it’s a NO money ‘mo problems problem. Which one is it? Let’s be real, we are all slightly traumatized tax nuts. But tax law changes and the economy leave the IRS holding the bag. It might be a surprise, but I’m not going to butcher the IRS in this post.

Are You a Tax Refund Realist?

Let’s be real…21 days for a tax refund isn’t really that long. Even a week or so longer isn’t too long. Is it realistic for us to be patient? Yes, probably. I think so.

We Are All Slightly Traumatized Tax Nuts

Every year it’s something new. Some refunds get delayed. But it’s not a lot in comparison to the number of returns filed each year. Despite this reality, when those of us are expecting money and we know there have been problems in the past, it makes a lot of people slightly neurotic about tax refunds. Let’s look at this some more…

Mo’ Money Mo’ Problems

Taxpayers and the IRS have a mo’ money AND a no money ‘mo problems problem. Now that was a mouthful. We know a lot of the holdups are because of fraud, but we also know a lot of large refunds are legitimate. It all boils down to needing more. More people claiming refundable credits. More people wanting their tax refunds asap. More people filing early. More fraud. The IRS has their plate pretty full and they need more resources to get the job done

Tax Law Changes and the Economy Leave the IRS Holding the Money Bag

In an economy where there has been slow growth and slow growth in workers wages, refundable tax credits are higher. This happens because people who fall below certain income limits claim higher amounts of refundable credits like the Earned Income Tax Credit (EITC). And because this credit is so large, it has been exploited with fraud. The IRS is pressured to place more scrutiny on these tax returns.

Surprise- the IRS isn’t the bad guy.

When laws change, they are charged with implementing and administering the law. In 2016 it was the healthcare mandate penalty, in 2017 the Path Act EITC and ACTC refund delay. It’s always something. But they need to change systems, policies, hire and train staff to make shit happen. Are they getting enough lead time and resources to do this? Let us know what you think in the comments below.

 

POST YOUR ACTUAL TAX REFUND EXPERIENCE HERE: This is a “user to user” site and the primary mode of support is peer-to-peer, meaning users helping other users. Admin and moderators are not always present or may not be right, or have answers to questions. Users become more informed when they are here often to read and comment. We call them Top Contributors. We are not a group of experts, merely individuals who have learned more than we ever wanted to know about the tax refund process.

Leave a Reply

Your email address will not be published.

Comments are moderated according to our comment policy. If your comment is moderated, it may appear shortly, it might not. They are auto-moderated (nothing personal) or removed manually for other reasons. It is not personal or always something you implicitly said. If you are moderated, read How We Moderate Comments (HWMC) before getting upset. If you think comments are being moderated in error or have any questions email IGMR Admin. Comments about how or why comments have been moderated could be removed and considered off-topic.

What Others Are Saying:

Select Year to Search Comments:

  1. Spooky

    The “Call Center” actually needs to be staffed with agents who can look at a return and give taxpayers advice on what’s going on, not pre- scripted responses from a log, the whole reason they put you on hold. It’s a damn joke that they have closed one processing center and reduced staffing by 14% and had the Federal Reserve breath fire down on them to pull 100K returns, only to not have the staff in place to deal with it. And…. the only government agency that self-polices itself in the form of a TA, that congress implemented a few years ago. So let’s see… reduce staffing, close a processing center, but then congress implements hiring if hundreds of agents to self-police the IRS. Yup…… makes sense to know one who can possibly be a human being.

    Reply



    0
Return to top of page