Thousands of people were left behind by the IRS when child tax credit payments were made in September. The agency’s message was not reassuring for families relying on the monthly payments guaranteed by the American Rescue Plan.
Between the stimulus checks, the child tax credit payments and the tax refunds – the IRS says it’s doing “the best it can” given the circumstances.
“There’s no way to get any information on any of this,” Beth White told CBS News. She is not wrong. In fact, the IRS has admitted that it is doing everything it can to stay ahead. However, the problem is ultimately one of staffing levels.
What Happens With 2020 Tax Returns?
The IRS says it corrected more than 11 million math errors that resulted in letters being sent to millions of Americans. However, this does not mean that tax refunds have been filed. “’Tax returns are opened and processed in the order received. As the return is processed… it may be subject to manual review delaying processing if our systems detect a possible error, ”the IRS said.
More than 10 million still need to be treated.
“It’s devastating,” Rochester native Emanuel Richards, who now lives in Pittsburgh, told FingerLakes1.com. “I waited patiently enough. I’m not looking for any documents, but I want my tax return to be fully processed. He was among the millions of people who received a mathematical error letter from the IRS.
It turns out there was no mistake. “Bad luck, I guess,” Richards added. “They are understaffed, so I understand, but it’s always difficult for families who need or depend on that money. At this point, there’s probably a reasonable chance that they won’t see their 2020 refunds in 2021 at all. “
The IRS admitted this was a possibility, as it noted that some of the returns under review could take up to 120 days to process due to “errors.”
Why were some child tax credit payments wrong
Once again, the IRS has said it is doing its best, but mistakes will inevitably occur. Thousands of families across the United States have reported losing hundreds if not a thousand dollars in the latest round of child tax credit payments. “We got $ 500,” 46-year-old New Mexico resident Travis Mack told Gannett. “We should get $ 800. “
The real confusion comes from the correct payments that came before it. It has happened to thousands of people, and there is no right answer. The IRS was not overwhelmingly helpful – giving callers mixed comments on why this was happening.
“We received two different payments, and neither totaled the right amount,” Shelby Ampellis told FingerLakes1.com. She says her family received payments of $ 850 in July and August. Then when the September payment came in – it was only $ 500. “Then the next day a payment of $ 200 was deposited, but that still left us $ 50 less than we were before. “
His tax preparer told him that anything the IRS had not sent or filed correctly throughout the year could be claimed on next year’s taxes.
Have you recently moved? Update your address quickly to let the IRS know
It turns out that the US Postal Service won’t always pass federal government checks. This includes stimulus payments and the child tax credit. A major problem reported by those waiting for stimulus checks, child tax credit payments or tax refunds has been address changes.
The IRS even attempted to collect some stimulus checks because they were sent to two addresses. Even if a check has not been cashed, the IRS is demanding repayment from thousands of people who it says received two checks.
This means that the solution updates your address as soon as possible after a move with the USPS.
RELATED: What’s Going On With Tax Credits? Is the IRS cracking down?
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