Monday, May 23, 2011

IRS screws up, Taxpayer refunds in limbo for months

irsWashington DC - Four years ago, Congress decided that the IRS should get into the banking business, authorizing it to give out no-interest loans to first-time homebuyers. That put the agency in the position of both collecting loan payments and issuing tax refunds to the roughly 1 million taxpayers who took advantage of the program. This year, the odd arrangement overwhelmed IRS systems, and an unspecified number of taxpayers have been forced to wait four months or more for their tax refunds. In fact, many are still waiting. Making matters worse, taxpayers caught up in the vortex say they’ve been promised delivery dates for their refunds repeatedly, only to be disappointed or to discover their returns have been placed back into “error” status.  More

0 comments: