Millions of taxpayers still haven’t filed a 2021 tax return, time is running out…
At the end of the 2021 tax season of more than 148 million, which fell on May 17, Americans filed a 2020 tax return. Last year, taxpayers were granted additional time while the covid-19 pandemic still blighted the work, leaving the IRS with a staggering backlog of tax returns to process.
This year, there is no extension and tax returns must be filed by April 18, or an extension requested.
By early April this year, fewer Americans had submitted their 2021 documents than this time last year despite calls from the agency to get 2021 tax returns early and file them electronically, to avoid delays in receiving tax refunds, which could help improve household finances given the current high inflation. As of April 1, just 91 million people had filed tax returns, compared to a total of more than 169 million the IRS had received by the end of tax season the previous two years.
Among these declarants, 8.5 million in 2020 weren’t required to file a return, but did so to get their economic impact payment, better known as the stimulus check. Another quarter of a million did the same in 2021 to get the child tax credit advance payments.
The IRS only sent the first half of the credit last year, in order to receive the rest and other child tax creditsworth thousands of dollars, Americans must file a 2021 tax return. The deadline is down to three days to submit your statement or request an extension.