Coronavirus impact on IRS Tax Problems
  • August 31, 2020
  • admin
  • 0

COVID-19 has caused significant operational bottlenecks in most organizations across the world, and the same has been true for the IRS as well. With 70 million taxpayers filing their returns for 2020 and about 70,000 employees working from home, the nation’s tax administration is in the middle of a perfect storm. Besides, the agency is handling the other important job of distributing stimulus payments with the passage of the CARES Act and other COVID-19 assistance laws. Taxpayers dealing with IRS problems can greatly benefit by reaching out to a trusted IRS tax attorney to better manage their tax problems. Continuing on the subject, in this post, we present a blogpost outlining the effects of COVID-19 pandemic and the operational burden faced by the IRS as a result on tax problems. Read on.

1. Delay in Responses

The IRS is currently operating on a diminished workforce, and as a result, is not capable of handling a flood of stimulus payment queries at once. It is, therefore, advisable to visit the official link: before reaching out directly to the IRS. The IRS has already provided answers to a number of commonly asked questions in the aforementioned link. Make it a point to go through it before approaching the IRS.

Related Blog: How to Approach the IRS Office Of Appeals

2. Limited Live Assistance

The IRS Taxpayer Assistance Centers remained closed for a while now and are just starting to reopen and take up requests. That said, when the centers remained non-operational, the phone lines, including service and all compliance hotlines were unavailable. Taxpayers need not panic if they are unable to connect with an agent for getting assistance on missed deadlines or any similar problems. The IRS, as a matter of fact, has suspended many compliance activities including audits and collection till July 15.

3. Hold on Audits

Through the “People First Initiative,” the IRS announced that all new audits are suspended and will resume after July 15. This doesn’t mean that the government will allow any suspicious or erroneous refunds. Individuals with questionable refunds including Earned Income Tax Credit returns, suspected identity theft returns, returns with highly questionable items, and wage verification issues can witness the IRS filing filters that will stop their refunds until verified.

Related Blog: Steps By the IRS to Mitigate Impact of Covid 19 on Taxpayers

4. Temporary Spare on Back Taxes

Due to the current state of operations, the IRS has put a pause on its collection enforcement activities, because of which tax levies, liens, and passport restrictions were halted till July 15. Even Offer in Compromise applications remained on hold. If taxpayers wish to set up a new payment plan on their back taxes, reaching out to an IRS tax attorney can help them set up a plan online and to start repaying their tax debts.

Wrap Up

The “Great Shutdown” of 2020 has consumed more than half of the IRS workforce in dealing with a number of critical issues related to stimulus payments and tax reliefs. This has created a huge backlog of taxpayer correspondence and tax season filing issues which may not resolve until the dust due to the pandemic settles. Although the IRS cannot do anything about the given situation, taxpayers can seek help from experts who can resolve IRS problems related to back taxes and refund holds efficiently. If you need help with IRS tax debt issues and are looking for help in Texas, reach out to the Law Offices of Nick Nemeth’s team of seasoned IRS tax attorneys in Dallas/Fort Worth. For a free and no-obligation consultation, simply call (972) 426-2553 or fill out our contact form and we will take it from there.

Please follow and like us:

What Our Clients Have to Say

Susan WilsonSusan Wilson
03:27 25 Jan 23
I have been very pleased with the solid counsel and guidance that Nick Nemeth has provided me regarding my tax issue. I found him to be honest and straightforward which I appreciated. I was impressed with his relevant experience and knowledge . He has definitely brought me peace of mind during a difficult and stressful time.
Sarah HowardSarah Howard
03:44 14 Nov 22
I would like to thank Mr. Nick and his staff for the superb help that I received from them. My IRS problem was resolved quickly and efficiently. It took 2 visits to convince me that I was over my head. I thought that I could call the IRS, appeal my tax notices and settle on a payment plan on my own. After many phone calls to the IRS, waiting sometimes more than 4 hours with no resolution to speak of, it proved to be extremely difficult and stressful. Revisiting Mr. Nick was a huge wake up call. My account was reviewed, and a payment plan was established with the IRS within a week. I will be forever grateful to the staff who worked on my case and especially to Lorna who listened to me vent while going through this painful process.
00:33 07 Aug 22
I cannot say enough good things about Nick and his team. When I first met with Nick he was up front, honest, friendly and efficient. When I worked with one of his attorneys, Eric B, I was just as pleased. All of the staff there are nice and very helpful. I wish I hadn't waited so long to get help with my issue. Over 6yrs I tried getting through and getting anywhere with the IRS and hardly made any progress. I know this may not be the case for all, and even I thought it would take longer than it did, but 3mos and they had my situation straightened out. I still can't believe it. Thank you thank you THANK YOU for all that you did for me. This is a huge burden gone out of my life now thanks to you. If anyone needs help out there, I know you may not want to shell out more money to get their help but it may just save you in the long run.
Spoilly GirlSpoilly Girl
23:49 03 Aug 22
The Nemeth Law team is exceptional. They treat their clients like a family member who is in crisis. They want you to get the best possible outcome. I really appreciate everything that they did for me. Jake and Ashley had the greatest role in my case and it all turned out for the best for me. Thank you Nick and team for easing my fears and getting me through the long process. I'm truly grateful.
Eddie WaltEddie Walt
19:44 12 Jul 22
During a time in which competent, professional service at a fair price seems to have disappeared, Mr. Nemeth and his team are a refreshing breath of fresh air.From my first phone call to the final settlement of our case with a non-responsive IRS, they under-promised, over-delivered and were in constant courteous contact to make sure we knew exactly what was happening and where we stood.I hope to never need their services again, but, should I receive another friendly letter from the IRS...I know who to call!
Quick Inquiry


    Enter the text you see above