Number of Taxpayers will have to wait to file their returns

There have been some recent changes in the tax laws which were accepted by congress and signed by the President in |December 2010. As these changes will have to be incorporated in the electronic version of processing tax as well IRS authorities will need some time in making sure this incorporation was carried out in time. As these changes will be applicable for tax year 2010 all those who will be effected by them have no choice but to wait little more before filing their returns.  IRS has already issued information on this delay for some of the tax payers and is also expected to inform soon by when the online system will be updated.

Most of these changes are on account of provisions for claiming itemized deductions in form 1040A. In case you do not have any claims under itemized deductions in Form 1040A this delay is not going to affect you, and you can go ahead and e-file your returns. More specifically these deductions are in the items related to:

  • Schedule A:  Claims in Schedule a on account of medical and dental expenses, charitable deductions, deductions on account mortgage interest will need to wait little more.
  • Higher Education Fee: Parents claiming to Higher Education Tuition Fee credits need to wait further. Under the new provisions a qualifying taxpayer could claim up to $ 4000 on account of post secondary tuition fee paid for their child.
  • Educator Claims: Taxpayers who which to claim tax credits under Educator Scheme using Form 1040 or 1040A will also need to wait before the online system is updated.

Learn more about e-filetax filing