Nearly 7,000 IRS workers are set to be laid off, raising concerns about potential tax season delays, according to the Associated Press. Experts warn that the reduced workforce could slow down refunds and make it harder for taxpayers to get help.
Former IRS tax examiner Liv Alvarado, who was recently laid off, said the cuts will likely increase wait times.
“So the fact that there is going to be even fewer workers now, stuff is going to take even longer,” Alvarado said.
Vanessa Williamson, a researcher at the Brookings Institute, echoed those concerns, pointing to previous IRS understaffing issues in the 2010s.
“When the IRS is understaffed, it makes refunds slower. It means they have a hard time answering their phones if you’ve got questions,” Williamson explained.
Omaha Mother Waited Nearly a Year for Refund
Omaha resident Bailey Keuchel knows firsthand how IRS delays can impact families. She waited almost a year for a $5,755 refund due to a mistake on her tax form.
“I support my kids financially completely, and it’s been devastating,” Keuchel said.
A mix-up on her 1040 tax form caused her refund check to be issued in her boyfriend’s name. When she visited the IRS in person to fix the issue, officials told her it would take about 60 days to correct.
She followed up repeatedly, but her case kept getting passed off with no resolution. Nearly a year later, after reaching out to First Alert 6, she finally received her check—with interest.
Her first priority with the refund?
“I’m getting my son a brand-new bed. His broke, and he’s needed a bed for quite a while,” Keuchel said.
Experts Advise Filing Electronically
Tax professionals warn that with fewer IRS workers, fixing mistakes may take even longer this year.
Tom O’Saben, with the National Association of Tax Professionals, advises taxpayers to file electronically whenever possible to avoid delays.
“What it means is if there’s any possibility to electronically file your return, do so,” O’Saben said.
Keuchel plans to hire a tax expert this season to prevent any filing mistakes.
Nebraska News will provide updates on tax season developments.
