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Jim’s Rant For The Day. IRS Anomaly.

Here is another anomaly for you. To my knowledge this is the first year ever that IRS said it would not process tax returns until some date in February. Their explanation was they were busy with Covid relief.

I only have a dozen tax clients at this point in my life, all old friends with complicated corporate returns. I just got a call from one who sent out her returns last Friday certified. It was returned to her marked “insufficient address”. I sent her a copy of the corporate form 1120 instruction book to verify the address was correct. IRS has been using that zip code for years.

Another client tracked her certified mail to the same address and was told by the Post Office that there was no such zip code. The last I heard the package was sitting in Ogden but not delivered to the IRS. Folks, All Ogden Utah residents know where the IRS processing center is. A zip code is not required there! Think about it. Also note that when a package is sent certified the clerk always verifies the zip code upon acceptance.

I suggest there is a deliberate cooperation between the IRS and the Post Office to delay delivery to IRS because they are backlogged and have no more storage space or places to park those big trailers. That is my best guess. My wildest guess is the cash flow is being cut off to the illegal IRS as the war is ending.

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