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Problems With IRS Computers Shut Down E-File System

The IRS says it has stopped accepting electronically filed tax returns because of problems with some of its computer systems. The outage could affect refunds, but the IRS says it doesn't anticipate "major disruptions."

On Wednesday, the agency experienced what it’s calling a "hardware failure." The e-file system and the "where's my refund" service are among the affected areas. The IRS says some systems will remain out of service through today (Thursday).

Taxpayers can continue to send electronic returns to companies that serve as middlemen between taxpayers and the IRS. But the agency says those companies have to hold on to the tax returns until the IRS systems are up and running again.

The IRS says 90 percent of taxpayers will receive refunds within three weeks.