Here’s something that may be hard to swallow. The IRS is saying that In some cases businesses and individuals may need to send in certain tax filings again.

Why send in the tax paperwork again? It’s because the IRS is now reporting that some filings sent in by businesses and individuals may be unaccounted for.

The revelation that you might have to send in certain paperwork again came in a report on September 30, 2022. In that report, the IRS said that tax filings from both individuals and businesses that were not previously confirmed as received by their electronic system may have to be submitted again. Were the tax returns and paperwork lost? The IRS isn’t saying. Maybe they just gave up trying to find the returns and paperwork.

Tax filings sent in by snail mail might be at the top of the list of tax filings that might need to be submitted again.

Adding Up The Numbers For Individuals And Businesses

Here it is, almost at the end of 2022, and the IRS is still having problems processing tax returns from 2020 and before. 2021 tax returns are due on October 17, 2022, if you filed an extension on your 2021 paperwork. Some taxpayers who filed their 2021 tax returns on time are still waiting for their refunds.

If we add up the numbers of unprocessed tax filings for businesses and consumers we can get a good handle on the problem. As of the end of September 2022, there were 6.2-million unprocessed tax returns from individuals at the IRS. And the IRS says there were 3.6-million unprocessed Form 941 filings from businesses that were at the IRS that was not yet processed.

Form 941 is what businesses send to the IRS each quarter to report on the tax money that they withheld from employees’ paychecks and Social Security payments that they withheld, and what was sent to the IRS for those employees’ accounts. That is vital information that is needed by the government, the Social Security Administration, and the IRS and it’s sitting there.

What the IRS did not mention is how many tax returns and other forms may actually be lost or unaccounted for, and how many business tax returns are still unprocessed.

But we do know that as of the end of September 2022 nearly 10 million filings are unprocessed.

Yes, It’s A Burden To Have To Resubmit Your Tax Paperwork

The IRS is now talking about businesses and individuals having to resubmit their tax returns and filings. Yes, it’s a burden to have to resubmit your tax paperwork. It’s a burden for individuals and for businesses. If the IRS is suggesting that you might have to do it, it’s an indication that the paperwork in question may have been lost or fatally misplaced because of the Covid pandemic shutdowns.

The IRS wants resubmitted paperwork sent in electronically, as it appears most of the “missing paperwork” was sent in by snail mail.

But this is important: the IRS is asking that businesses and individuals not send in their paperwork again if the businesses and individuals have received a confirmation that their original paperwork is at the IRS. Duplicating paperwork will not get your refunds faster.

The Impact On Businesses And Individuals

This mess at the IRS can cause all sorts of problems for businesses and for individuals. For individuals counting on an IRS refund to pay bills, it means you will have to wait and keep waiting. Call us to speak with our tax attorney and professionals for a free consultation on how we might be able to help you resolve your tax problems. There is a possibility that your refund has been held up for a reason that you might be able to fix. For example, did you enter a Social Security Number on your tax return incorrectly? This can delay the processing of your tax return and it can delay your refund. Our tax relief experts will discuss your tax situation with you in a free telephone consultation.

If you have a tax debt with the IRS, the backlog at the IRS might make this the best time to seek an IRS Fresh Start Program or an IRS Offer In Compromise Program. Our tax experts will discuss with you why a big backlog at the IRS might make this the best time to make these arrangements.