IRS in chaos: Nearly 35 million tax returns are STILL unprocessed and just 3% of phone calls are being answered as Americans try for months to get through to a human on the other end

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  • The National Taxpayer Advocate submits two annual reports to Congress
  • The most recent report found a ‘perfect storm’ at the IRS
  • The pandemic combined with increased demands on it, and a reduced budget
  • As of May, 35 million returns had still not been processed, the NTA reported
  • Millions of people are still waiting for a tax refund, averaging $2,800
  • Phone calls were rarely answered by a human being, adding to the frustration
  • Biden is planning to increase the budget of the IRS to deal with the challenges 

The Internal Revenue Service is facing a backlog of 35 million unprocessed tax returns, according to a government watchdog, as the pandemic and economic relief efforts combined to overwhelm the agency and force some people to spend hours chasing their overdue refunds.

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The National Taxpayer Advocate (NTA) submits two reports to Congress each year: an Annual Report, delivered in January, and an Objectives Report, delivered in June.

In its most recent report, the NTA states: ‘It was perhaps the most challenging filing season taxpayers, tax professionals, and the IRS have ever experienced.’

One of their most important phone lines – the 1040 customer support lines for individual tax returns – reported that only three per cent of the 85 million callers got through to a human being.

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