Congress saved the nation from going over the fiscal cliff earlier this week — but the fate of americans’ tax returns hangs in limbo.
felicia taylor is in new york with more on how the late fiscal deal could affect your refund.
The problem is that the IRS can’t put out 2012 tax forms until the agency knows what the tax policy is, but congress didn’t get a deal done until january first. So the IRS has some scrambling to do.
The agency must reprogram its systems and issue tax forms based on the revised laws. That could delay the start of the tax filing season.
It typically starts in mid-january, but that’s only a few weeks away, and so far, the agency hasn’t announced when it will start accepting tax returns, and the later the tax return, the later the tax refund.
This isn’t the first time tax season has gotten off to a late start.
Two years ago, congress was in a similar bind… and tax season didn’t start until mid-february because lawmakers didn’t get a deal done until mid-december.
That’s not a good sign, considering that this time around, congress didn’t make a deal until the new year.
We’re waiting for official word from the IRS, but so far, it looks like millions of taxpayers will be waiting for their refunds.