Government Shutdown Sept. 30: What It Means for Taxpayers

Government Shutdown Sept. 30: What It Means for Taxpayers

With the federal government facing a potential shutdown on Sept. 30, 2025, taxpayers should know how IRS operations may be affected. While some essential services continue, many functions will slow down or stop until funding is restored.

Refunds and return processing

Electronic filing systems are expected to stay online, but paper returns and filings requiring human review will be delayed. Refunds could also be delayed, especially those involving credits like the earned income tax credit.

Customer service and taxpayer support

IRS call centers, Taxpayer Assistance Centers and the Taxpayer Advocate Service may have reduced staff or close entirely, making it harder for taxpayers to get help.

Audits, appeals and collections

New audits and collection actions are likely to be paused. However, deadlines for filings, petitions and court actions remain in force, meaning taxpayers must still comply, even if the IRS cannot respond immediately.

Mail and correspondence

Paper correspondence will likely pile up. Notices sent to the IRS may not be opened or processed until after the shutdown ends, creating further backlog.

What taxpayers can do

Taxpayers should file electronically, use direct deposit for refunds, and make payments online to minimize disruptions. Keeping confirmation records is critical in case of disputes later. Above all, don’t assume a shutdown changes statutory deadlines. The IRS may be slowed, but the clock keeps ticking.

National Association of Tax Professionals