This year’s tax refunds may be delayed, which is bad news for many Americans. The delay follows an incident on February 19 in which the state’s online income tax filing website displayed the message, “Coming soon.”.
Many Americans may face significant delays in receiving their tax refunds this year, which is understandable given that Colorado’s website was only reportedly operational for one week.
Although many residents may find this unfavorable, the Colorado Department of Revenue has explained why the tax refund processing delay was believed to be necessary.
Families in Colorado might see their tax refunds delayed this month
Many people were perplexed about when they could file their taxes due to the state’s website’s “coming soon” notice. The Colorado Department of Revenue’s Taxation Division stated that the delay was due to tax code revisions.
Furthermore, the Colorado Department of Revenue wishes to assure its constituents that the 26 tax code changes and 14 new tax credits are intended to assist businesses and individual residents in the state in saving money. To ensure that the system was functioning properly before taxes were submitted, the tax code changes had to go through several tests.
The Colorado Department of Revenue apologizes for the delay and recognizes the importance of tax refunds for financial stability. They promise to make it easier for taxpayers in the future.
Perhaps this failure served as a learning opportunity for the Colorado Department of Revenue, ensuring that the state never again experiences delays in processing taxpayers’ taxes.
The deadline for filing federal and state taxes remains April 15, despite Coloradoans’ much later start date this year. Each state has its own tax filing procedure, even though there are some upcoming changes to the 2025 tax rate that all Americans should be aware of.
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Colorado taxpayers may have to go a step further and apply for TABOR reimbursements, also known as the Taxpayer Bill of Rights. Some residents may be eligible for $177 to $1,130 in refunds under the Taxpayer Bill of Rights or TABOR, though eligibility is based on income.
The legislature also passed legislation last year that allows families to claim the Family Affordability Tax Credit.
Families with children under the age of five are eligible for up to $3,200 per child through the Family Affordability Tax Credit. Furthermore, the General Assembly increased the Earned Income Tax Credit from 25% to 38% of the requested amount in 2023, which is great news.
Although taxpayers in Colorado file their taxes much later than those in other states, states frequently begin processing taxes later. Colorado taxpayers began filing their taxes in mid-February of last year.
Colorado taxpayers may have to wait a little longer for their tax refunds, but the state’s large population should benefit from the tax law changes and additional benefits. To find out when taxpayers across the country will receive their refunds, citizens should stay up to date on national news and the IRS tax return schedule.
Colorado residents should use the Where’s My Refund function on the state’s official website to track the status of their tax refunds as soon as they file them.
Reasons why you won’t receive tax refunds this year
- Delinquent child support payments: The IRS may withhold refunds due to past-due child support payments and may use the funds to pay the unpaid bill if a parent fails to fulfill their obligation.
- Federal debts owed to government organizations: Tax refunds may be canceled if non-tax debts are paid to other federal authorities, such as unpaid federal student loans or obligations from federal programs. The IRS may then take the appropriate amount from the refund and send it to the responsible organization.
- State income tax liabilities: Tax refunds may be affected by state debts, federal charges, and state tax authority debts, with some withheld through IRS offset programs.
- Unemployment compensation debts: The return may be affected by debts related to uninsured unemployment benefits, and the IRS can, upon request, deduct the appropriate amount to clear the debt at the state level.
