1040 Filing Delay

IRS announces 1040 filing delay.

The IRS today announced a delay to the start of e-filing of individual returns. 1040 e-filing was scheduled to begin Tuesday, January 22. The IRS announced today that the start of 1040 e-filing has been pushed back to Wednesday, January 30. The IRS cited the need to finalize forms and to complete programming and testing of its processing systems after passage of the American Taxpayer Relief Act (ATRA) as the reason for the delay.

The delay in the start of 1040 e-filing will impact your clients, particularly those who receive tax refunds. The later start to the filing season means disbursement of refunds will not begin until February. It is important to let taxpayers know that no refunds will be received in January.

Additionally, the IRS also indicated that several forms impacted by ATRA will not be finalized or eligible to be filed until late February or early March. Some of the affected forms include Form 4562, Depreciation and Amortization, Form 3800, General Business Credits and Form 5695, Residential Energy Credits. This has an important affect on most business returns including schedule C & E filers. The due date for corporate returns is March 15, 2013. Most corporate returns use form 4562 and for 3800. The delay of these forms into March may mean an increase of corporate extensions. For Partnership Returns and Schedule C & E filers the due date is generally April 15, 2013. Again, most partnerships and  schedule C & E filers use forms 4562 and 3800 which will require filing after the forms are approved in March.

You can read the full IRS release on the delay in 1040 e-filing here (IR-2013-2).