IRS Tax Filing Deadline Amid Government Shutdown

Even with the U.S. government currently closed, taxpayers who received an extension from the IRS earlier this year must still submit their income tax returns by October 15th. An IRS representative mentioned to CBS News, “Taxpayers should continue to file, deposit, and pay their federal income taxes as usual. The expiration of appropriations does not change your federal income tax liability.”

Usually, around 20 million Americans, which is about 13% of all taxpayers, request an extension for their tax filings each year, according to the agency. Extensions are granted automatically, giving those who request it an extra six months to prepare and submit their federal returns.

This extension can be particularly helpful for individuals dealing with complicated tax situations or those who simply need extra time. However, it’s important to note that this does not exempt anyone from paying their taxes by the standard April 15 deadline.

Most IRS operations are currently shut down due to the government closure. Since October 8, roughly half of the agency’s staff has been furloughed, although some essential personnel are still on duty to assist with taxpayer services and processing returns, according to tax advisory firm Baker Tilly.

When is the Tax Extension Deadline?

If you have an extension, make sure to file your taxes by Wednesday, October 15th at 11:59 PM local time. Yes, that means if you’re filing electronically, you’ll need to submit by that exact time.

Can You Extend it Beyond October 15th?

Generally speaking, no. The IRS maintains that extensions do not go beyond the October 15th deadline. However, this year, officials have granted additional time to some residents in states affected by local natural disasters.

For instance, residents of Arkansas and Tennessee who experienced issues from April storms and tornadoes now have until November 3rd to file their federal returns. Also, people living in affected areas of Kentucky and parts of West Virginia can enjoy the same extended deadline due to severe weather that hit in February.

What Happens if You Miss the Filing Deadline?

Should you miss the October 15th deadline, the IRS will impose a penalty of 5% of the unpaid tax amount for each month or part of the month that you are late, capping at 25%. However, the IRS does state that they may waive this penalty if you provide a reasonable explanation for the tardiness, requiring you to attach that explanation to your tax return.

In cases where you file late but are actually owed a refund, typically, there won’t be any penalty applied.