Tax returns late for 3 million people

Filed under: Banking & Finance,Daily News |

Tax refunds for more than 3 million people will be held up until February because of Congress’ late fix to the alternative minimum tax, Internal Revenue Officials said this week.

Congress put a one-year freeze on growth of the alternative minimum tax last week, protecting some middle-income taxpayers from first exposure to the tax.

But the late action means the IRS won’t be able to start AMT forms until February.

As many as 13.5 million people will have to wait until Feb. 11 to start filing with the five AMT-related forms, but the IRS said filing patterns show only between 3 million to 4 million of those people file during the early tax season.

The five forms affected by the delay are:

— Form 8863, Education Credits;

— Form 5695, Residential Energy Credits;

— Form 1040A’s Schedule 2, Child and Dependent Care Expenses for Form 1040A Filers;

— Form 8396, Mortgage Interest Credit; and

— Form 8859, District of Columbia First-Time Homebuyer Credit.

Any taxpayer using those forms will have to wait until February to file their taxes, IRS officials said.