Message from Joyce Burchett

January 28, 2022

 

Dear Friends and Clients,

 

Let’s, all that are here today and reading this newsletter, take a few minutes to be appreciative for the many blessings we have, the people we have in our lives, our families, and friends (those who deserve to be thankful for), our jobs, our churches and organizations that  belongs to our American way of life, and that 2021 is gone for good. Let us celebrate 2022 because after the last 2 years , we deserve to celebrate a new beginning. On New Year’s Eve as I was watching TV just before the ball dropped, I thought “I’m sure glad 2021 is gone . It had been just a horrible year and the only good thing I can say about it  is “It’s Gone.” I want to embrace the New Year and the new beginnings we want to embrace.

 

As part of these new beginnings, I want to welcome Sybil Barco to my staff at the front desk talking to you and the return of Donze Wilkins in the back office preparing tax returns,  and of course Riley (15 now in December) and Angus (7, but 8 in May) are still with us as our cheerleaders and greeters. Their vet says they are still doing well and going strong. We will add more staff as the time approaches to begin the tax season.

 

IRS has announced we will begin the season on Monday, January 24, 2022, for the 2021 tax season. The IRS has gone thru some tough years themselves with COVID shutdowns, limited staff, budget cuts, they started the 2020 tax season with ten million tax returns behind processing and by the end they were 30 million behind.

 

You only have to go online and read the articles and the announcement on January 10, to see the future 2021 filing season. I’ve been reading this crystal ball  for 2 years and forecasting it thousands of times when I ‘ve answered your calls and emails, and that magic phone number or guardian angel I have in the IRS is just that  “magical.” I have no secret powers or passwords to get thru to the IRS and it does not matter how many times you tell me “You  need money” or “please” it has no bearing on  the service of the  IRS.

 

The treasury inspectors rate the top challenge facing the IRS is “handling tax changes and coronavirus  benefits takes the top spot.”   This includes the agency’s increased duties of distributing stimulus checks and monthly advance child tax credit payments and struggling with the retroactive tax law changes. Their dismal customer service is on the list among numerous others but not #1 on the list. You may disagree with the inspectors, but I agree with them. They could improve their service if they had better technology, more staff, and less late tax changes, changing in the middle of the tax year, shutting down the regular job of processing refunds, instead sending out stimulus and ACTC. That is the same as me having more workload  and rework in the same amount of time to do it.

 

So, I may have some solutions to my problems within my office to help all of us. We will begin taking appointments for the tax preparation on Monday,  January 31 as well   for all our clients who have   ALL the necessary information to complete their tax return on the day of their appointment. Attached are the updated sheet and checklists that MUST be filled out completely, checked off and all documents to  complete the return must be attached or sent to us in advance.

 

We will have numerous new credits and advance payments that we must reconcile or account for on the returns. On November 1 we sent out   a fall newsletter with updates to that time. In this newsletter we  will deal with only the changes that affect this filing season and how my office needs to receive the proper information to complete your returns only one time  and prepared correctly.

 

Please have all of the information provided to us at your appointment time or when you drop off.  Calling you back for information is costly for you. The more time I have to spend on your return, will cost you more in preparation charges.  If you will follow and check off on the required checklist then that saves me time and you money. I have it available for you but no one has asked me what my hourly rate is for the 2021 tax year $200/hr. I charge for consultations of $100/30 min.  I have form changes for preparing tax returns and our normal starting fee is $165 for 1040 and NC returns plus $35 for itemized deductions on Schedule A. 

 

Since we have advance and new credits, they effect more schedules/forms, so you can expect additional changes this year. With all the additional work on each return having to be done and the time involved, I will have to follow a very, very close schedule and that will mean if you aren’t prepared them, I may not be available to do your return.  I want to provide the best possible service to as many clients as I can but with what I went thru 2020 tax season I’m not mentally nor physically able to do the hours so I’m cutting appointments and hours worked. 

 

 

The success of this year depends on you and your preparedness, “Help me, help you.” Be prepared, bring all necessary information needed at your appointment time, prepare the checklist, and please have all questions answered. Having all of this will give you the best refund possible and reduce your preparation and/or time charges.

 

 

To say the last couple of years has been unprecedented, is an understatement. The 2021 tax filing year will have new credits, new forms, new rules for 2021only and many other challenges for taxpayers and IRS. With the backlog of 6.5 million (2019 and 2020) returns still to be processed by the IRS, COVID-19 on the rise, political unrest on Capital Hill, and just the whole mood of the world today is enough for all of us wanting things to change for the better. It is certainly taking its toll on all of us, but we still need to stay safe and healthy.

 

Amended return filers need a lot of patience this year. As of November 13, the agency had a backlog of 2.7 million unprocessed form 1040-X. Under normal times it takes IRS up to 16 weeks to process, but COVID-19 times it is taking more than 20 weeks.

 

We can’t include everything here, but I will update the website at www.burchettfinancial.com. We have included on the highlights of the 2018 and 2025 beyond tax law reform changes. Please check it out and we will keep you updated during the tax season and beyond.

 

That’s all folks & See you Soon!
 

Joyce and Staff @Burchett Financial Services