US Says It Will Clear 2021 Tax Return Backlog This Week

US Says It Will Clear 2021 Tax Return Backlog This Week
The word "taxes" is seen engraved at the headquarters of the Internal Revenue Service (IRS) in Wash., on May 10, 2021. Andrew Kelly/Reuters
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WASHINGTON—The U.S. Internal Revenue Service on Tuesday said it would complete processing this week all the original, error-free 2021 individual tax returns received last year, clearing a backlog of 8 million returns, but the agency still faces major challenges.

The IRS said it has processed more than 143 million returns received in 2022, providing over $298 billion in refunds to taxpayers, but still had millions of paper returns to process because it started the year with a significant backlog.