Early Tax Returns in Jeopardy

Congressional stalling on Alternative Minimum Tax patch may force IRS delay

By Jim O'Neill, Newser User

Posted Dec 2, 2007 2:55 PM CST

(Newser) – If you're planning to file for an early tax refund this year, don't count on it. Congress has dragged its feet in creating a patch for the Alternative Minimum Tax that could make the IRS postpone filing season several weeks, the AP reports. A limit on who's affected by the AMT expires this year; if it's not extended, 19 million taxpayers will owe an average $2,000 more in income tax.

Even if Congress acts quickly, 38 million early filers expecting $87 billion in refunds could be confused about their status; the IRS says processing erroneous early returns could “delay the whole filing system.” Already, tax form printing has been delayed. It’s a nightmare for tax advisers. "It's like playing a round of golf and then finding out that the rules have changed,” said one.

Tax time looms, but the IRS may have to delay returns. (Getty Images)

Tax season may be delayed as Congress works to deal with the effects of the expiring Alternative Minimum Tax. (Getty Images)

This year's tax returns may be delayed. (Getty Images)

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Early Tax Returns in Jeopardy

Congressional stalling on Alternative Minimum Tax patch may force IRS delay

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How Many Millionaires Paid No Income Tax in '09? 1,470

Average income fell 6.1%, new data shows

Another Temporary Budget Strains Federal Agencies

SEC can't hire; foreign aid money blocked; no end in sight

What If I Don't Feel Like Filing?

Christopher Beam explores the potential evader's options

Incomes Under $400K May Dodge Brunt of Tax Hike

AMT still higher

Cheney Makes Way More Than His Boss

VP's family rakes in $3M, while Bushes earn less than $1M

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OTHER STORIES ON OUR RADAR

Congress • IRS • income tax • Alternative Minimum Tax

MOST POPULAR STORIES

[ By Views ]

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More Newser Stories

How Many Millionaires Paid No Income Tax in '09? 1,470

Average income fell 6.1%, new data shows

Another Temporary Budget Strains Federal Agencies

SEC can't hire; foreign aid money blocked; no end in sight

What If I Don't Feel Like Filing?

Christopher Beam explores the potential evader's options

Incomes Under $400K May Dodge Brunt of Tax Hike

AMT still higher

Cheney Makes Way More Than His Boss

VP's family rakes in $3M, while Bushes earn less than $1M

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Newser By Users

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