IRS To Issue Refunds Despite Government Shutdown

Lloyd Doyle
January 10, 2019

As in past years, the IRS will begin accepting and processing individual tax returns when filing season begins.

"Tax refunds will go out", Russell Vought, the acting director of the White House Office of Management and Budget, told reporters at a briefing Monday, according to several outlets.

The IRS paid out $12.6 billion by February 2, 2018, to more than 6 million households; $101.2 billion to nearly 32 million households by February 16; and had doled out $212 billion in refunds by the end of March 2018 to 73 million households, according to TheWSJ.

Partial shutdowns occur when Congress can not agree a budget by a certain deadline or the president refuses to sign it.

If the shutdown weren't enough to contend with, taxpayers and the IRS have to grapple with the most sweeping overhaul of the US tax code in three decades.

With the White House announcement on refunds, "They're reversing a long-standing legal position", said Howard Gleckman, senior fellow and tax expert at the Urban Institute.

Sens. Warner and Kaine have been outspoken against President Trump's use of a government shutdown as a negotiating tactic. Administration officials have been looking for ways to ensure refunds could go through, even if President Donald Trump and congressional Democrats fail to resolve their dispute over whether to fund construction of a wall on the United States' southern border.

Any IRS employees brought back to process these tax refunds will not be paid until the shutdown ends. The IRS is delaying tax refunds for millions of low-income families as the agency steps up efforts to combat identity theft and fraud.

In addition, if taxpayers file under a shutdown, they still will not get a refund if its due, Herron said, though the White House's statement Monday contradicts that.

To minimize errors and provide faster refunds, the IRS recommends people to file their tax returns electronically.

A 1040 tax form appears on display, Tuesday, Jan. 10, 2017, in NY.

The shutdown, which began on 22 December, has affected 25% of the government and seen some 800,000 federal employees furloughed - temporarily laid off - or forced to work without pay.

Other reports by Iphone Fresh

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