IRS BACKLOG CAUSING PROBLEMS FOR TAXPAYERS

As with many governmental entities, the IRS shut down its offices when the pandemic began. The result was a backlog of returns, letters, payments, and other paperwork is still being worked through, almost a year later. The issue, however, is it has thrown off the tax return and refund cycle, resulting in many people receiving notices saying they owe money they have already paid.

Robert Lickwar, a partner in UHY's Northeast region, has clients asking him about these letters. He said all of this can be confusing and upsetting for clients. “We as CPAs bill for our time, and I think that’s what they’re finding most frustrating, that they are incurring additional charges to have these issues resolved,” Lickwar said. “And to be frankly honest with you, I can’t say I blame them.”

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