2010 Tax Law Creates Tax-Day Woes

It's Tax Day today, the glorious event that has Americans hurrying to the post office to send off last-minute tax returns.

Lines, hassle and confusion are just a few of the joys that often accompany tax day, and the 2010 tax law added an extra dose of stress, according to Christy Deich, certified public accountant at Deich, Smith & Trundle in Aptos, who said the congressional delay in finalizing the 2010 tax law created even more work for accountants.

“This year is extremely busy,” said Deich, who attributes her office's unusually high work load to Congress' delay with passing the 2010 tax law. “Tax season started late, because Congress passed tax law later in the year of 2010, so the IRS didn't have forms ready until mid February, so they couldn't file forms [earlier].”

As Congress debated over extending the Bush-era tax cuts, finalization of the 2010 tax law wasn't completed until Dec. 17, and Congress' delay had far-reaching effects.

The Internal Revenue Service wasn't able to update its system with current tax law information—meaning it wasn't able to have tax forms ready until February—with Valentine's Day becoming the first day that the IRS announced it would accept tax returns.

A handful of Americans filing with itemized deductions were also affected—around 50,000 Americans to be exact, according to CNN Money.

The new tax bill, which included deductions for state and local sales taxes, college tuition and teacher expenses, caused taxpayers with such deductions to delay filing—subsequently providing more work with less time for accountants.

“[The delay] made it more difficult by pushing things back further,” Deich said.

Not only have accountants been busier than usual, but Watsonville tax attorneys are also feeling the crunch, and were too busy to comment, period.

In addition to the hardship Congress' delay caused, the state's federal Emancipation Day holiday on Friday was another issue for accountants.

Although the holiday may be considered fortunate for some last-minute taxpayers—the holiday extends the filing period to today—accountants aren't as fortunate.

Karen Nessen, marketing associate at Chappell Ken CPA's Glendale office, said the filing extension has created even more work for accountants, because clients continue to ask to delay the process even longer.

“Ever year there's new [tax] laws, but one thing that is different this year is the extension,” Nessen said. “I'm just listening to all the accountants, and they're getting all these phone calls with people wanting to delay it, so on our end, that just makes them busier."

Today is the last day to file taxes, due at 11:59 p.m. Tax forms aren't available at local post offices. Taxpayers who need forms are advised to visit the IRS website or call 800 829-3676 for more information.

The , at 225 Main St., will be open until 5, and the closes at 4:30 p.m. Tax returns dropped off in the blue mailboxes will be collected at 5 p.m. Monday.

For later hours, residents can visit either the post office in Salinas or the Willow Glen office in San Jose. The Salinas post office, at 1011 Post Dr., will be open from 8:30 a.m. to 6:30 p.m., with 6 p.m. being the latest time taxpayers can drop off returns.

The Willow Glen Station, at 1750 Meridan Ave., will be open from 8:30 a.m. to 7:30 p.m., with 7 p.m. being the latest time tax returns are accepted.

For more information, call 800 275-8777.