Wednesday, 20 March, 2019

Government Shutdown Could Impact Tax Returns

Government Shutdown Cost ABC NEWSGovernment Shutdown Cost
Lloyd Bates | 08 January, 2019, 00:41

File your tax return but don't count on having your refund any time soon.

Knuff, who has prepared tax returns in Cleveland for 40 years, said people have gotten use to receiving their refunds in just a couple weeks.

The government shutdown could delay your tax refund this year, but if you owe the IRS money, then you may still have to pay on time regardless.

While many Americans who rely on a refund to offset holiday costs or give them a beginning-of-the-year boost, President Donald Trump has said he will keep the government closed until Democrats agree to fund the border wall. "Those temporary workers are out of work due to this shutdown". But if it drags on, taxpayers across the country likely will feel the impact - if income tax refunds are delayed.

During the shutdown, the IRS can do many of its activities, such as protecting government property, process returns that come with payments and conduct criminal investigations.

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The country's tax collector is among the federal agencies affected by the government shutdown, now in its second week.

Only about 12 percent of IRS staff are expected to continue working through a shutdown, according to CNBC. If the government shutdown continues, it could delay any refund that's due. "That stalemate raises the prospect of an unprecedented extended closure during the individual income-tax filing season, which typically starts in mid-to-late January".

New Worries emerge with the federal government shutdown, tax returns.

First, tax refunds won't be issued.

Tony Reardon, president of the National Treasury Employees Union, told Politico last week that the IRS could have to call back workers without pay for filing season. As the IRS's contingency plan noted, the law's implementation "requires creating or revising hundreds of tax products including worksheets and tax forms, form instructions and publications as well as changes to current IRS policies and procedures".

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