As part of the government shutdown, now it is the time for the IRS to furlough more than half of its employees. The reason for this five business days delay is due to the IRS contingency plan to keep running for a few business days before broader furloughs kicked in, called “lapse appropriations contingency plan”.
With over half of its workforce out, there are only essential functions like:
- Statutory or legally mandated functions
- Implementation of legislation / regulatory work tied to non-annual funding
- Maintaining information technology and system security
- Oversight, policy, and related internal functions
- Some automated collection/enforcement activity
On the other hand, the suspended or limited functions are those related to:
- Phone lines / taxpayer help desks
- Routine audits / examinations / non-automated collections
- On-site audits, appeals, examinations, field collection work tend to be paused.
- Issuance of new guidance or extensive interpretive rulemaking
- Processing new requests or applications
- Routine correspondence and backlog work
As the shutdown unfolds, taxpayers should expect delays in IRS responses and processing times. We will continue monitoring developments and keep you informed of any updates affecting your filings, compliance, or tax planning.
Link Federal News Network – IRS shutters ‘most operations,’ furloughs employees as shutdown continues
Link Forbes – IRS Halts Most Taxpayer Services As It Furloughs Nearly Half Its Workers
Link Journal of Accountancy – IRS furloughs nearly half its workers, closes most operations
