The Government Shutdown and Your Tax Return

With the 2019 tax-filing season opening in less than two weeks, many Americans were wondering how the partial government will affect them at tax time. Yesterday, the Internal Revenue Service released their contingency plan that answered these questions.

For the filing season, over half (57.4%) of the IRS’s 80,000 employees will be recalled to work. This is up from only 12.5% of those who have been working during the shutdown previous.

How does the shutdown affect my tax season?

This change in personnel will affect the services that are available during filing season. Both paper and electronic returns will be accepted (thought electronic returns are often processed quicker). Refunds will be issued and payments will be taken. The IRS’s website will also be functional, including the Where’s My Refund? function.

The decrease in workers means that taxpayer assistance by appointment and phone will not be available. Telephone support is expected to return sometime during filing season. All the walk-in taxpayer assistance centers are closed. New audits will not be started and legal counsel is unavailable during the shutdown.

The 2019 filing season opens on January 28. It closes on April 15 in most states. This season is the first to include changes from the Tax Cuts and Job Acts.

Where should I go if I need help?

Because of the recent changes in tax law, your tax situation may change. If you need help, eventually, the phone lines should be open. However, you may also want to consult a tax professional. They will be able to look at your specific situation and lead you in the right direction.

Anything else?

IRS workers will be unpaid based on the contingency plan, but are promised to receive back pay when funding is restored. The National Treasury Employees Union, which represents about 70,000 IRS employees expressed dissatisfaction with the plan.

“There is no doubt the IRS needs to get ready for the 2019 filing season that starts Jan. 28, and IRS employees want to work. But the hard, cold reality is that they’ve already missed a paycheck and soon they’ll be asked to work for free for as long as the shutdown lasts,” said NTEU National President Tony Reardon.

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