The IRS has kicked off the 2015 tax season, and it recommends that taxpayers file electronically. While this advice is aimed at individual taxpayers, it does indicate how budget constraints will slow services this year.
“We encourage people to use the tools and information available on IRS.gov, particularly given the long wait times we anticipate on our phone lines,” said IRS Commissioner John Koskinen. “As always, taxpayers can benefit by filing electronically.”
The IRS noted processing times for paper-filed tax information are noticeably higher due to its short staff. With the 150 million individual returns the IRS will receive this year, there’s no telling how long it will take the agency to get to tax documents submitted by organizations.
Organizations should also e-file
With the IRS juggling a hefty workload, tight budget and implementation of reporting measures for the ACA and other new regulations, e-filing shouldn’t just be on the radar for individual taxpayers. While the agency requires only certain mid- to large-size corporations to e-file – those with 250 or more returns – e-filing has many benefits for organizations.
Not only is this process faster when it comes to gathering the tax documents, but also e-filing can speed up processing once the IRS has the paperwork, as indicated by the IRS press release. According to October 2014 data from the IRS, roughly 7 million partnerships and corporations e-filed during the 2014 tax season. With the ease e-filing creates and the IRS’ budgetary struggles, this figure may increase for the 2015 tax season.
