The IRS has announced what is operational and not during the government shut-down.  Below is the text of the IRS announcement.

 IRS Operations During The Lapse In Appropriations

Due to the current lapse in appropriations, IRS operations are limited. However, the underlying tax law remains in effect, and all taxpayers should continue to meet their tax obligations as normal.

Individuals and businesses should keep filing their tax returns and making deposits with the IRS, as they are required to do so by law. The IRS will accept and process all tax returns with payments, but will be unable to issue refunds during this time. Taxpayers are urged to file electronically, because most of these returns will be processed automatically.

No live telephone customer service assistance will be available, however most automated toll-free telephone applications will remain operational. IRS walk-in taxpayer assistance centers will be closed.

While the government is closed, people with appointments related to examinations (audits), collection, Appeals or Taxpayer Advocate cases should assume their meetings are cancelled. IRS personnel will reschedule those meetings at a later date.

Automated IRS notices will continue to be mailed.  The IRS will not be working any paper correspondence during this period. Here are some basic steps for taxpayers to follow during this period.

How does this affect me?

• You should continue to file and pay taxes as normal. Individuals who requested an extension of time to file should file their returns by Oct. 15, 2013.
• All other tax deadlines remain in effect, including those covering individuals, corporations, partnerships and employers. The regular payroll tax deadlines remain in effect as well.
• You can file your tax return electronically or on paper –– although the processing of paper returns will be delayed until full government operations resume. Payments accompanying paper tax returns will still be accepted as the IRS receives them.
• Tax refunds will not be issued until normal government operations resume.
• Tax software companies, tax practitioners and Free File will remain available to assist with taxes.

What IRS services will be available?

• For taxpayers seeking assistance, only the automated applications on the regular 800-829-1040 telephone line will remain open.
• The IRS website, http://www.IRS.gov, will remain available, although some interactive features may not be available.
• The IRS Free File partners will continue to accept and file tax returns.
• Tax software companies will continue to accept and file tax returns.

RSS COMMENTS:

• Basically, IRS is saying you are expected to file all tax returns coming due during the shut-down and pay any tax due without any help from IRS, other than perhaps finding out how much you owe on its automated telephone line.
• Some may find relief if Revenue Officers are furloughed.  Audits in progress will likely be postponed.
• Letters to IRS about notices that often make no sense will go unanswered. Be sure to obtain proof of mailing for anything mailed to IRS as even certified letters will sit for who knows how long before the return receipt is stamped as received.
• Levies already issued will still have to be complied with by banks.  CDP Hearings will likely be postponed.
• OVDP cases will languish yet longer.

The above represent just a few potential logjams and problems resulting form the government shut-down.  I am sure other issues will arise as this irresponsible insanity plays out.

Comments © 2013 by Robert S. Steinberg, Esquire
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