IRS Plans for Faster Refunds for Paperless filers in 2024


According to a statement released by the IRS on Wednesday, taxpayers will be able to file all main tax forms online, and the IRS plans to digitize its enormous paper filing system by 2025. This will significantly improve customer service for millions of taxpayers and speed up refunds by four weeks.

The long-awaited upgrades, made possible by an increase in funds in President Biden’s historic Inflation Reduction Act, would allow taxpayers to file complex tax returns online or upload supporting documentation directly to their IRS accounts rather than mailing physical copies to the organization.

Digital tax files are processed by the IRS far more quickly, allowing revenue agents to issue refunds more quickly and properly. Tax officials have long urged taxpayers to file returns electronically in an effort to spare their staff from having to manually enter data into the agency’s outdated computer system.

The IRS said that it would begin digitizing paper tax forms received by mail or fax by the 2025 filing season. This will enable optical scanners to collect taxpayer data and upload it straight to IRS accounts.

Treasury Secretary Janet L. Yellen is anticipated to make the statement in a speech on Wednesday, according to an early draft of her remarks acquired by The Washington Post. “This ‘Paperless Processing’ initiative is the key that unlocks other customer service improvements,” she is slated to say.

Once the initiative starts in January, the tax agency believes that 94 percent of individual taxpayers will not need to send the IRS any mail.

The IRS Commissioner Daniel Werfel has prioritized a number of customer service enhancements since entering office in March, including the paperless project. For the 2023 tax season, the IRS’s greatest year in recent memory, agency authorities promptly grabbed over $1 billion in fresh resources to hire hordes of customer assistance personnel.

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