The Inner Income Service is suspending the issuance of plenty of notices it often mails to tax-exempt organizations and governmental entities when it’s lacking their tax returns, citing the pandemic and the IRS’s personal backlog of unprocessed tax returns and correspondence.
The announcement Friday by the IRS’s Exempt Group unit acknowledged that the IRS hasn’t but processed a number of million tax returns filed by people and entities.
“The suspension of the notices will assist keep away from confusion when a submitting remains to be in course of,” stated the IRS. “The IRS will proceed to evaluate the stock of pending returns to find out the suitable time to renew mailing these notices. Some taxpayers and tax professionals should obtain the notices in the course of the subsequent few weeks. Typically, there isn’t a must name or reply to the notices so long as the return was filed well timed.”
The IRS headquarters in Washington.
Andrew Harrer/Bloomberg
The announcement got here after the IRS, below strain from lawmakers and tax and accounting teams, agreed to droop different varieties of automated tax notices for particular person taxpayers final month, together with assortment notices, stability due notices and unfiled tax return notices (see story). However Congress and a coalition of tax and accounting teams together with the American Institute of CPAs and the Nationwide Affiliation of Tax Professionals, are nonetheless pushing the IRS to develop the record of suspended notices (see story).
The suspended notices for tax-exempt and governmental entities embrace: