WASHINGTON, D.C. – Your tax refund check might be late this year; it got stuck in a fiscal cliff. Democrats and republicans were able to agree at least enough to stop the tax hikes. But other than that, what can you expect from a last minute deal? All good news?
The I.R.S. said that with this new legislation it will have to work round-the-clock to change tax policies, re-program systems and issue the up-to-date tax forms. In plain English, this means many folks will have to file their taxes later, and receive their refunds later.
This delay may hurt a lot of people who rely on the refund to pay for a vacation, pay off their property tax, etc. In addition, workers will see smaller paychecks, thanks to the end of a 2% Social Security payroll tax reduction.
It would have been easier if they had just delayed the arrival of 2013.