Update: The Government Shutdown and Your Taxes

Tax filing season begins in five days. The government shutdown is still happening. IRS employees are being recalled to process our tax returns… without any compensation, for now.  

What does this mean for you? This means exactly what it meant before: taxes are due on April 15, 2019. If you fail to file or pay your taxes, it will catch up to you and you may be subject to penalties.  

What does this mean for your refund? You should still plan for the worst or at least a possible delay in receiving your refund.  

The problem here is that IRS employees are being recalled to work without pay. If we look at the recent pattern of TSA employees calling out of work after not being paid, the same pattern may occur for many IRS employees.

Government employees are people too. They have bills, they have families, and they deserve to be compensated for their labor. Should taxpayers be entitled to their refund of taxes withheld in the previous year? Of course, but could you imagine if you worked all of those hours in 2018 and didn’t get paid for them? That is what’s being asked of these IRS employees.

As I previously mentioned, PLAN, PLAN, PLAN! Do yourself a service by planning as though your refund will take a few months to come to you (it’s actually possible).  If you receive your refund within a few weeks of filing your return, it will be a pleasant surprise. If it takes a few months to receive your refund (which may be the unfortunate reality) at least you planned.  

Good luck this tax season!