Each year the IRS will shut down and do a switchover. Usually, at the end of the year, late November, the IRS will shut down its e-file systems. They do this to switch over from year to year. You might think with technology today, that they would not have to shut down. Running something the size and with security, shutting down is probably the best thing for the IRS to do.
When does IRS e-file start again?
The IRS will announce about two weeks before they decide to flip the switch back on. We get asked all the time when is the IRS is taking e-files. They do not tell us. They keep it a secret until they announce it on their site. We think they do this for obvious reasons; it buys them time. They do not have to announce unit they have done their own round of quality control testing. Traditionally we have seen the IRS start e-file around the 3rd week of January.
Once we know what the IRS start date is, they also announce Hub Testing. Normally one week before the office start of e-file, Hub Testing will start. This controlled launch allows the staff at the IRS to manage the number of files they get and make sure all systems are working well.
Will clients get refunds faster with Hub testing?
The IRS says that most refunds are issued in 21 days. However, according to the IRS:
“While the IRS will begin accepting returns January 23, the IRS cannot issue a refund that includes the Earned Income Tax Credit or Additional Child Tax Credit (ACTC) before mid-February. This is due to the 2015 PATH Act law passed by Congress, which provides this additional time to help the IRS stop fraudulent refunds from being issued.”
Where is my client’s refund? How do I help my client?
The IRS has some great tools to assist your clients. Here is the link to helping your clients.