IRS Tax Filing Delay: 3 Types of People Unable to File Taxes on Jan. 1 2011

The IRS has announced that recent tax changes made in Congress will impact three types of filers, forcing them to wait until sometime in February before they can file their taxes in 2011, according to Fox News: college students, teachers and certain state residents.

Teachers affected

Georgia and other state teachers will need to wait for the IRS green light before filing their income taxes in 2011 if they had up to $250 in out-of-pocket classroom expenses they wish to deduct. If not, they can file at the normal time.

State residents who don't pay state income tax

Tennessee residents don't have a state income tax, so they will have to wait until February to file their taxes in 2011. Other states that do not have a state or local income tax will have to wait too, allowing the IRS time to recalibrate their computer software system to accommodate the changes made in Congress during the lame duck session.

State residents who don't pay local income tax

Residents in the U.S. who live in areas that do not charge them local sales tax will be affected by the recent congressional changes to the IRS tax laws, so they will need to wait until February of 2011 to file their income taxes, too. Like the state residents who don't pay state income tax, those who don't pay local tax depend on the Schedule A form when filing their returns. This IRS schedule has to be changed before filing can occur, according to Fox News.

Parents of college students

Not all parents of college students are affected by the delay, but if your child was a college student in 2010 and you want to take advantage of the increased deduction of $4,000 you will need to wait until the IRS gives the green light sometime in February.

College students

Any college student wanting to take the $4,000 tax deduction will need to wait until later to file their tax returns too, even if doing so electronically. The IRS feels it will be sometime in early to mid-February before they will have the changes made to their software to accommodate the congressional-approved tax deduction.

IRS clarifies who is delayed in filing

"The majority of tax payers will be able to fill out their tax returns and file them as they normally do," Doug Shulman, the IRS Commissioner said.

The only people who have to wait until February to file are the teachers, students and residents impacted by the changes made during this last congressional session.

Out-of-pocket expenses teachers want to deduct (and don't exceed $250), college tax deductions for the amount of $4,000 (not the current lower deduction) and people who live in places where you legally don't have to pay local city or state income taxes will be the only ones experiencing the filing delay, per the IRS.

Reference: "IRS Says Tax Changes Will Cause Some Filing Delays," Fox News