IRS Collecting Taxes During Government Shutdown, But Refunds Postponed
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The Treasury Department and the IRS have a 61-page contingency plan for getting through the government shutdown – well, at least through the first five days.
Only about 9% of the agency’s employees (about 8,700 of 95,000) will continue to work through the shutdown. If it lasts more than five days, the agency will reassess the situation and determine if additional adjustments in staffing or other changes are needed.
The plan lists several IRS functions that will be suspended, including performing exams, offering phone assistance and issuing refunds. However, the IRS will continue to process electronic tax returns, and the October 15th deadline for extensions still stands.
The IRS website is functioning, but won’t be updated during the shutdown. The agency will continue to take precautions to protect data and criminal enforcement operations.
The government shutdown, which began Oct. 1st, is the first since 1996; an estimated 800,000 federal employees have been furloughed.
Scott Berger, CPA, is a Entrepreneurial Services Principal at Kaufman Rossin, one of the Top 100 CPA and advisory firms in the U.S.