The Colorado Department of Revenue recently announced the links for electronically filing various state returns are not yet available. This includes individual state income tax, fiduciary income tax, and business income tax returns cannot be filed. The announcement which was posted to the agency’s website in late January created significant concerns because most returns are filed electronically, While submitting a paper filing is allowed it is widely discouraged because of the longer processing times. Unfortunately, the inability to submit state filings is causing unexpected delays, impacting individual and business taxpayers alike. To help clients, prospects, and others, WhippleWood CPAs has provided a summary below.
E-Filing Delay Announcement
The announcement on the Department of Revenue website encourages taxpayers and preparers to check back in early February. However, given the month is half over with no updates, many are concerned about when returns will be accepted. Historically, Colorado has accepted and processed returns between Martin Luther King Jr. Day and early February. Last year, returns were accepted starting in Mid-February.
It appears the state is still not ready to accept returns. According to a statement made to the press by a department official, “We have nothing to announce at this time and are focused on completing the necessary work to ensure taxpayers have a smooth and secure filing experience.”
Impact on Clients
Unfortunately, this news means the firm cannot submit returns as is typically the case. Until the state starts accepting e-filed returns, the team cannot fully assemble the required documentation. As a result, we will be holding all Colorado returns for filing until the state accepts them. Rest assured our team is hard at work completing tax returns, but until this issue is resolved there is very little that can be done.
Contact Us
The inability to file state returns will unfortunately result in delays with state tax returns. For now, we are monitoring the situation and will provide updates as they become available. If you have questions about the information outlined above, or need assistance with another tax or accounting issue, WhippleWood CPAs can help. For additional information call 303-989-7600 or click here to contact us. We look forward to speaking with you soon.