According to the Internal Revenue Service, if Congress cannot come to an agreement about th budget, as many as 100 million U.S. households may not be able to file their tax returns until March 2013.
The alternative minimum tax is scheduled to affect about 32 million households. Congress’s inability to come to a decision will also prohibit the IRS to reprogram its computers to adjust to the new changes.
U.S. households will have even more questions than last year about filing so the IRS is preparing for the high volume of calls. Tax filers should wait and see if a decision is made before filing in order to avoid having to amend later. Without a “patch” to the AMT, 80% of households with incomes between $80,000 and $200,000 would owe extra taxes.
Congress must come to an agreement hopefully before the New Year.
For more information about filing your taxes, contact the tax experts of Gonzalez & Arrambide, Inc. at 956-447-9009.