IRS Mails 260K Notices, But Admits They Should Not Have Been Sent

Why are so many Americans upset with the IRS?

There are few things as heart-stoppingly awful as receiving a notice from the Internal Revenue Service (IRS). What could be worse than that, right?

Let us tell you what would be worse: you could get an entirely incorrect notice!

That’s exactly what has recently happened to more than a quarter million taxpayers.

The IRS acknowledged sending out approximately 260,000 notices to taxpayers for failure to file. Some, and perhaps MANY, of those notices are likely incorrect.

Here’s the official IRS statement:

Earlier this month, the IRS issued notices to approximately 260,000 taxpayers stating they haven’t filed their 2019 federal tax return. These notices, referred to as CP59 notices, are issued yearly to identified taxpayers who have failed to file a tax return that was due the prior calendar year (Tax Year 2019). Due to pandemic related shutdowns, the IRS has not completed processing all 2019 returns at this time. Therefore, the CP59 notices should not have been sent because some portion of the recipients may actually have filed a return that is still being processed. People who filed their 2019 return but nevertheless received the CP59 notice, can disregard the letter and do not need to take any action. There is no need to call or respond to the CP59 notice because the IRS continues to process 2019 tax returns as quickly as possible. The IRS regrets any confusion caused by this mailing.

And what’s the reason for that? If you guessed COVID-19, you would be correct.

And taxpayers are not the only ones annoyed because of these notices they received…

Two leaders of the House Ways and Means Committee have actually told the IRS Commissioner,
“Enough is enough.”

See their statement below:

“We are dismayed that the IRS continues to send incorrect notices to hard-working Americans, many of whom are struggling through severe health and economic crises as a result of the pandemic. The IRS must immediately cease mailing erroneous notices that impose unnecessary and confusing burdens on taxpayers. Yesterday, we learned that the IRS sent approximately 260,000 CP59 notices to taxpayers who the IRS claimed did not file a 2019 tax return. The IRS continues to have a staggering backlog of unprocessed 2019 tax returns that, most recently, was reported to include nearly 7 million unprocessed individual tax returns. In light of these severe processing delays, it is very likely that many taxpayers receiving CP59 notices already filed the returns that the IRS claims are outstanding. For taxpayers who have dutifully complied with their filing obligations, these notices impose unnecessary stress and sow confusion. For IRS employees, these notices create unnecessary work while they struggle to meet the current demand.”

If you still haven’t filed a 2019 tax return, the IRS has asked you to do so promptly. Even though the IRS is backed up, they are processing 2019 returns as quickly as possible.

As for 2021, a shout out and a BIG thank you to many of our clients who have successfully filed their return early and ALREADY received their refund too!

If you haven’t filed yet, what are you waiting for? Our calendar is filling up fast.

We can help you get your maximum tax refund as soon as possible! Our Tax Advisors are waiting to help you. Setting up an appointment is simple. We are offering both virtual and in-office appointments.

Contact us today for a FREE appointment! Click the link: tax preparation appointment.

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