IRS Delays Start of Tax Filing for Some Taxpayers in 2011
2010 is coming to a close and soon we will be gathering our documents and filing taxes again. The IRS announced recently that a certain group of taxpayers will have to wait until middle to late February 2011 to turn in their tax returns.
This delay is due to the fact that the IRS had to reprogram their computer systems to comply with recent tax law changes passed on December 17th, 2010. This does not change the fact that the tax deadline is April 15th. However, the affected taxpayers should not expect to get proper refunds until the IRS systems are in sync with the latest laws.
The biggest group of taxpayers that should wait to file are those who itemize their deductions such as state and local taxes, mortgage interest, and charitable contributions. Additionally, this affects those who are taking the $4000 deduction for college tuition and fees and also teachers who are taking a $250 deduction for out of pocket classroom expenses. The majority of taxpayers will not be affected because they take the standard deduction, which is $11,400 for a married couple filing jointly and $5,700 for an individual in 2010.
Personally I always wait until at least February to file my taxes so this does not affect me much. If you are a taxpayer that want to take the deductions mentioned, then hopefully you are not expecting to pay for your holiday purchases with a refund check in January. Your refund will be delayed.
Will you be affected by this delay? When do you usually file your taxes?