Wisconsin's mortgage recipients are buying and selling delays for bigger authorities tax refunds

Individuals filing the Wisconsin Earned Earnings Credit on their 2020 state income tax return may face delays in getting their refunds, but potentially larger refunds. These delays are good news for taxpayers who may receive higher than expected credit due to an adjustment in the calculation of the federal and state tax credit, according to the Wisconsin Department of the Treasury.

To offset the losses many people suffered from loss of income due to the 2020 pandemic, the IRS and Wisconsin Department of the Treasury are relying on the taxpayer's higher income in 2019 and 2020. This change to the tax law was made due to the passage of the Act and the signature of certain tax provisions through the Federal Act on Consolidated Funds passed by Governor Tony Evers.

The tax law change came in February, when many taxpayers had already filed their tax returns. So the Wisconsin DOR launched a project to adjust tax returns for taxpayers who would have benefited from applying the 2019 income amounts without the taxpayer having to resubmit or change their returns. D.

OR makes these adjustments automatically to make things easier for taxpayers who rely on their EIC.

If you've already submitted your Earned Income Credit claim, you don't need to make any changes to receive the adjustment that the change in law calls for.

"We are excited to help families streamline their tax filing process and maximize income tax filing at a time when families need it most," said DOR Secretary Peter Barca. "We hope families understand that minor delays are worthwhile." Waiting for a bigger return as our people ensure they get the best possible return. And the extra money couldn't have come at a better time as families count every dollar as we continue to beat this pandemic and prepare for better days. "

While the additional level of verification for EIC returns can add to the time it takes to get refunds into the hands of these taxpayers, the result is that more money is in their pockets to help the struggling households when they get it on urgently needed, said the department on Friday.

It is a top priority for DOR that taxpayers receive refunds as soon as possible. Filing an individual income tax return electronically is by far the fastest, safest, and most accurate way to file and expedite refunds. However, the department also emphasizes that in some cases, due to ID verification and other security or quality assurance measures, returns can take up to 12 weeks to process.

Taxpayers who want to track their tax refund status can do so on the Where's My Refund page? Do this on the DOR website or by downloading the WI Revenue app.