IRS Expects Over 168 Million Returns
According to the Treasury Department, the IRS has already processed over 100 million returns as of April and estimated an expected return of more than 168 million this year.
The expected return amounts were lower this year than in previous years’ expected returns due to the smaller tax credits available during the pandemic. Now that things have returned to normal, the agency’s capacity to complete all workloads has slowed.
With fewer employees, the agency’s main concern is dealing with backlogs and calls while working on monthly stimulus checks, child tax credit payments, amending the expected return, and other services, Morning Star reported.
IRS Faces Challenges During the 2023 Tax Season
The IRS stated that this tax season was a test for them because it was the first since the pandemic hit the country in 2019, especially now that they see results from the expected return for 2023. It was also the first tax filing season since the passing of the Inflation Reduction Act, which included an $80 billion budget to improve the agency’s technology, workforce, and audits.
Despite the current issues, the IRS received positive feedback for doing its best to improve its services amidst the obvious effects of the pandemic.