By By Lisa Tindell – news editor
Some taxpayers are eager to get started with their 2007 tax returns, but they may have to wait until mid-February to complete their returns.
Those filers who have a number of preference credits, or tax write-offs and deductions, will have to put a hold on completing their returns until the Internal Revenue Service can update forms and computer systems to accommodate late changes with Alternative Minimum Tax issues.
Congress fixed a looming problem with the alternative minimum tax with a patch put into place by an enactment last week.
Since the enactment came later than anticipated, IRS workers will now begin extensive work to upgrade computer systems to allow for the changes. Forms and instructions will also have to be revised in order to accommodate the new tax figures related to the AMT patch.
The IRS estimates as many as 13.6 million taxpayers will not be able to file their returns until the Feb. 11 target date. The effect of the delay may be lessened by the fact that under previous filing patterns only 3 to 4 million taxpayers file returns with the five affected forms during the early weeks of the filing season, IRS Coordinator Linda Stiff said in a press release Thursday.
The February delay caused by the AMT patch will affect taxpayers using any of the following forms: