Not only is the mortgage insurance deduction in homeowners’ taxes creating an issue in Congress as the government struggles to balance the budget, if you are one of the many homeowners who DO take this deduction, you cannot file your 2010 taxes yet.

This is due to tax laws that were enacted at the end of 2010, so the IRS is not prepared for those changes yet. The IRS expects to have the ability to process those returns beginning sometime mid-to-late February, according to

Also, according to the IRS website, Federal taxes also aren’t actually due until April 18, 2011 because the Federal Government is closed for Emancipation Day on April 15, 2011. MARYLAND STATE TAX RETURNS ARE STILL DUE BY APRIL 15, 2011, according to the Comptroller of Maryland’s site.

What does this mean for Towson Homeowners who file for the mortgage insurance deduction or have charitable contribution reductions? You must wait until Mid-to-late February for the IRS to get their system up & running to process these correctly.