Despite pressure from the country’s biggest companies to get workers back in the office, the rise of hybrid and remote work has led to record-high vacancies.
Office vacancies peaked in the fourth quarter of last year, with 20.4% of office space in the nation’s top 50 metro areas sitting empty, according to the financial services firm Moody’s. For the same quarter a year earlier, the vacancy rate was a bit lower — at 19.6%.
“Five years since the adoption of the widespread hybrid and remote working models, a new regime is forming which has led to a permanent reduction in office demand.” Moody’s said in a note last week.
The agency noted that newer buildings, designed to enhance in-person collaboration while reducing the need for permanent offices and cubicles, have been more successful.
The news follows a growing trend among major companies such as Amazon (AMZN-1.46%), AT&T (T-1.45%), and most recently JPMorgan Chase, all of which have recently ordered employees to return to the office, rolling back flexible hybrid-work policies.
Amazon, however, has faced some challenges with this shift. The company originally planned to require all employees to return to the office five days a week starting January 2, 2025. However, according to internal communications obtained by Business Insider, some locations are not yet equipped to accommodate the full workforce.
When explaining their return-to-office (RTO) mandates, companies tend to say it will boost productivity, improve work culture, and facilitate teamwork. But according to a recent survey, another big reason companies are choosing to make workers return to the office is because they’re tired of paying for empty office space.
Resume.org asked 900 business leaders to tell them about their remote work policies. One in three reported that they were implementing RTO policies because of existing office lease agreements.
Some experts, however, have characterized RTO mandates as a method of reducing headcount while avoiding the costs associated with layoffs.
The Internal Revenue Service (IRS) on Friday announced details for the start of the 2025 tax filing season, which will begin in earnest later this month.
Tax filing season will open on Monday, Jan. 27 for taxpayers submitting their tax returns for tax year 2024. The IRS said it expects more than 140 million individual tax returns by the federal deadline for filing returns for tax year 2024, which will be Tuesday, April 15.
The agency added that with about half of all returns expected to be filed with the help of a tax professional, taxpayers should use a trusted tax pro to avoid potential scams and schemes.
This tax filing season will also see new tools available to taxpayers amid the IRS' modernization efforts. Among the improvements include more access to tax account information from text and voice virtual assistants, expanded features on the IRS individual online account, more access to dozens of tax forms for cell phone and tablet users, plus expanded alerts for scams and schemes targeting taxpayers.
The IRS announced the 2025 tax filing season for tax year 2024 returns will open on Jan. 27. (Michael Bocchieri/Getty Images / Getty Images)
The IRS has also expanded the Direct File program from last year, which will be available to taxpayers in 25 states when the tax season officially begins later this month after the program was used by 12 states as part of last year's pilot program.
Direct File is similar to commercial tax software and allows taxpayers to opt into a data import tool to automatically import information from their IRS account – such as personal information, the taxpayer's IP PIN, and certain information from their W-2 form. A new chatbot will also be available to help Direct File users navigate the eligibility checker.
"This has been a historic period of improvement for the IRS, and people will see additional tools and features to help them with filing their taxes this tax season," said IRS Commissioner Danny Werfel. "These taxpayer-focused improvements we've done so far are important, but they are just the beginning of what the IRS needs to do. More can be done with continued investment in the nation's tax system."
The IRS has been in the process of modernizing its technology to help taxpayers. (Photo by J. David Ake/Getty Images / Getty Images)
The IRS' announcement noted that most tax refunds are issued in less than 21 calendar days and that taxpayers can use the "Where's My Refund?" tool on IRS.gov to check the status of their 2024 income tax refund within 24 hours of e-filing.
For taxpayers who file a paper return, refund information is normally available four weeks after filing. The "Where's My Refund?" tool updates overnight, so there's no need to check it more than once a day.
"The easiest, safest, and fastest way to receive a refund is to file electronically and select direct deposit. According to Treasury's Bureau of the Fiscal Service, paper refund checks are 16 times more likely to have an issue, like the check being lost, misdirected, stolen or uncashed," the IRS wrote.
It added that taxpayers should check the FDIC and National Credit Union Administration websites if they don't have a bank account, while veterans can use the Veterans Benefits Banking Program to find participating financial institutions.