The Days of the Shutdown in Our Tax Lives

          As the Federal Government shutdown has continued, a greater impact is being felt in many departments. One clear example is the Treasury Department. The IRS had a plan to continue with many services until December 31. Now that date has past, and more services must be cut until full funding is restored. Now at this point, the IRS is mostly closed.

          Up to the end of last month, the IRS was still processing certain Tax Returns and accepting payments. They were not issuing refunds or making progress on any audits or examinations. Until more funding is approved, the IRS will basically only deal with issues relating to disaster relief. Everything else will have to wait.

          This presents a fundamental issue. We are at the beginning of the first tax filing season under the Tax Cuts and Jobs Act. With so many potential variables to consider, and guidance needed, the IRS is not able to provide any assistance. Before the shutdown started, they had not even announced the 2019 start date. It was thought to be sometime in February. However, with each day of the shutdown, that date could move back weeks due to the backlog of work that is piling up. Sadly, this is a situation where we must watch, wait, and see what happens. Do not forget to keep making scheduled payments to the IRS. They are still expected, even during a shutdown.

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