While Treasury Secretary Steven Mnuchin has stated that the $1,200 COVID-19 relief checks that are on the way to most Americans should be here in two weeks, some experts are warning that this is wishful thinking. Instead, many Americans may find themselves receiving the money months from now, not weeks from now.
Unemployment is soaring and millions of Americans are scrambling to handle their affairs while out of work. Many are hoping for the relief check to arrive sooner, rather than later, to help them cover bills and purchase essential supplies like food. Mnuchin has promised the checks to reach most people in a matter of weeks. Is his promise unrealistic?
Many experts are warning that outdated technology and staff shortages at the IRS could delay the relief check process. “There are going to be a lot of people for whom this is going to take a while, and I think it’s going to be measured in terms of months, not weeks,” states Howard Gleckman of the Urban Institute’s Tax Policy Center.
Experts like Gleckman insist that the IRS’ lack of modern technology, like cloud services security, puts them at a severe disadvantage in distributing the funds. As such, people in a tough financial spot should not rely on the money arriving any time soon. Instead, they should focus on ways to make ends meet that are more immediate and concrete.
Mnuchin dismissed these fears at a White House press briefing on Thursday. “I don’t know where you’re hearing these things,” the secretary told reporters.
“This money does people no good if it shows up in four months, and we will deliver on that promise.”
The tech that runs much of the IRS isn’t just old; it’s borderline ancient. These aren’t computer systems from 2010. Two of the database systems still in use are from the 1960s.
While the IRS has added newer patches and systems on top of the older infrastructure, this can often introduce new problems. Not all programming languages can communicate with one another.
This leads to more room for crossed wires, delays, and poor communication. As it attempts to handle the massive volume of checks it needs to send out, the IRS will be stumbling over its creaky, ancient information technology and the limited personnel available to handle the demand.