IRS Computer Still in Arrears, Delays Millions of Refunds

The Internal Revenue Service, bedeviled all year by a new computer system, has processed fewer than 58% of individual tax returns filed during the first 13 weeks of 1985, delaying refunds for millions of taxpayers.

IRS figures released today show that each of the 10 regional service centers where returns are processed has completed work on far fewer than during the same period last year. At this point a year ago, 77.5% of returns received had been processed.

“We’re showing improvement each week, but we’re still behind,” said IRS spokesman Ernest Acosta.

Through last week, 21.5 million returns were certified to receive refunds, down 29% from last year. This year’s average refund is $720, compared to $741 at this point in 1984.