We’ve now entered the fifth week of the government shutdown—the longest in U.S. history. While many headlines focus on national parks, SNAP benefits, and TSA delays, the shutdown also has serious tax implications. Here’s what you need to know about how it could affect your taxes and refunds.
Tax Refunds May Be Delayed
The IRS has announced that some tax refunds may not be issued during the shutdown, with one key exception: If you file an error-free Form 1040 electronically and choose direct deposit, you can still expect to receive your refund.
“It’s a good idea to file your return electronically,” says CPA and former IRS agent Kemberley Washington, CPA. “Doing so ensures you receive your refund with little to no assistance from the agency itself.”
The IRS will continue to process payments—whether submitted by mail or electronically—but expect slower overall operations.
Limited IRS Phone and In-Person Help
During the shutdown, live IRS phone assistance is extremely limited. Expect long wait times if you call.
While automated toll-free phone systems will remain available, most walk-in Taxpayer Assistance Centers (TACs) are closed.
Additionally, any appointments with the Independent Office of Appeals or the Taxpayer Advocate Service are canceled and will be rescheduled once the government reopens.
What Taxpayers Should Know
Even during a shutdown, taxpayers must continue to meet all tax deadlines. Here’s what you can do to stay on track:
- Open an online IRS account. This allows you to access your tax information without calling customer service.
- File electronically. Paper filings can cause significant delays in processing and refunds.
- Expect slower mail response times. The IRS is not responding to most paper correspondence during this period.
- Use available online tools. You can request prior-year tax transcripts and other services through IRS.gov.
- Compliance continues. The IRS Criminal Investigation Division remains active, ensuring that key enforcement and statute of limitation deadlines are met.
Despite the challenges, electronic filing and online tools can help taxpayers navigate this period with fewer disruptions.
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