IRS had a backlog of nearly 8 million paper business tax returns in 2020 due to pandemic
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The Covid-19 pandemic caused a backlog of nearly 8 million paper-filed business tax returns at the IRS in 2020, according to a report issued Tuesday by a U.S. Treasury Department watchdog.
That represents a 3,230% increase relative to the end of 2019, when the IRS had about 239,000 paper returns waiting to be processed, according to the report, published by the Treasury Inspector General for Tax Administration.
The delays are largely a result of “unprecedented and drastic actions” the IRS took to protect employees and taxpayers during the Covid-19 pandemic, the report said.
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