An IRS watchdog says customer service issues are worsening at the tax-return-processing agency.
FILE - Internal Revenue Service Commissioner Charles Rettig prepares to testify before the Senate Finance Committee, at the Capitol in Washington, April 7, 2022. A new report from the National Taxpayer Advocate says that taxpayers are experiencing longer wait times on the phone, theres an even bigger backlog of paper returns than there was a year ago, and delays in processing paper returns have been running six months to one year.
She added: “At the end of May, the IRS had a larger backlog of paper tax returns than it did a year ago, and its pace of processing paper tax returns was slowing.”According to the report, at the end of May the agency had a backlog of 21.3 million unprocessed paper tax returns, an increase of 1.3 million over the same time last year. The agency fell short on its goal to bring on 5,473 new employees to process returns, with just 2,056 employees hired.
“Today, the IRS is running well ahead of tax return processing compared to a year ago,” Reynolds said. “The IRS continues to make substantial progress on the inventory," bringing on new contractors, shifting staff and mandating employee overtime, she said.
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