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I think we may begin to see IRS slow down refunds in the future. It's the only way to deal with the fraud problem. They shot themselves in the foot years ago, back when they used the carrot and stick approach by offering fast-turnaround of refunds to push more people to e-flinging. Now that they have progressed to the e-flinging mandate, there's no longer any reason to keep the carrot out there. From this point forward, it's more a matter of forcing tax preparers to be uncompensated agents of the government. They're already well on their way and now it's just a matter of gradually tightening the noose. At this point there is really no downside to slowing down refunds. After one or two tax seasons, the hysteria will subside.

"A major victory for independent tax preparers". It depends on the lens you use to see it.