It’s somehow already tax season in the United States and based on how taxes were handled by the IRS in 2021, many people are wondering if tax deadlines will be pushed out. The IRS is reportedly making changes to how tax filings will take place this year and has already made several other changes that could effect taxpayers.
A Response to 2021 Tax Season
Facing a slew of criticism following its failure to meet the tax deadline last year, the Internal Revenue Service has promised that this filing season will be different. According to an IRS official, “the agency is on track to meet all deadlines.” While there are still many people who do not believe them, it appears they have made several positive changes to avoid past mistakes.
Impactful Changes for American Taxpayers
One change being made by the IRS is new leadership. Kevin Brown was appointed as new commissioner in October after Milo Geyelin retired due to health problems resulting from what many reporters claim was “unwarranted scrutiny” of his tax filings back in 2020. Mr. Brown has vowed that things are going to change at the top and taxpayers can expect better customer service.
Another major change that is reportedly underway at the IRS is the closing of the agency’s tax investigation department. According to current Commissioner Brown, “while there were valid reasons for having a tax investigation division, it has become an impediment to good customer service.” The change was publicly encouraged by many politicians who felt that taxpayers were often intimidated by the heightened audits associated with this department.
Brown went on to say that “if there needs to be evidence collected or further action taken because of intentionally fraudulent activity, we will certainly do our best to follow through. However, most people simply want their refunds as fast as possible and sometimes mistakes are made.” While things may still change in response to past criticism, it appears that some major changes are taking place that will hopefully improve the lives of taxpayers across the country.
Changes to the NAA
In a related development, it has been announced by the National Association of Accountants (NAA) that individuals who have unreported income from a prior year may be able to avoid being prosecuted if they turn themselves in now. According to an NAA spokesperson, “this special offer is being provided as a response to all of those accountants and tax preparers who filed fraudulent returns with the IRS last year.” In addition, people filing multiple returns for veterans benefits can now expect their refunds within one month instead of having to wait several months as they have in previous years.
As part of this new program, those with unreported income or underreported income will get 100% immunity from prosecution if they come forward now. The NAA spokesperson went on to add that, “until this special offer expires, people should not delay in coming forward because there is no way for us to know how long the IRS will continue to honor our request.” While it appears that some changes are indeed taking place at the top of the agency, many taxpayers are still worried about potential tax reform and further budget cuts impacting their refunds.
What You Can Do
If you’re concerned about taxes this year, why not consider a qualified professional to handle the process for you? Tax preparation businesses handle a variety of tax scenarios for both businesses and individuals. Take your taxes to a pro and avoid any confusion this year. Outside of taking your taxes to a professional, keep up to date with the official irs.gov website to know if the filing deadline will indeed be delayed.