How the Government Shutdown and IRS Furlough Apply to You If You Owe the IRS

The government shutdown has furloughed thousands of IRS workers. As a result, the IRS officials processing your case are most likely out of the office. But just because IRS staff have their computers shut off for the foreseeable future doesn’t mean your obligations are similarly on hold. Let’s talk about what this shutdown means for you.

What Operations Stop During the Shutdown?

With the shutdown, responses to emails, written correspondence, and phone calls won’t occur, and other administrative tasks will be delayed or suspended. While e-filed tax returns will likely continue on schedule, paper returns will face delays as many require manual verifications by IRS staff.

The IRS Taxpayer Advocate Service will also be offline during the shutdown. Many audits will also be paused, but if you are being audited, your preparations should be put on hold.

What Operations Continue During the Shutdown?

On your end, you need to keep making payments during the shutdown. IRS computer systems aren’t off duty – just the people operating them. You should expect to continue receiving notices from the IRS via automated computer-generated notifications. These notices will include payment reminders, balance-due letters, and more.

You can and should respond to these letters to demonstrate you are still in compliance. While the letters won’t be responded to within the usual time frame, you must document all correspondence as proof that you held up your end of the agreement.

If you had a tax filing deadline of October 15, 2025, you were expected to pay this tax on time. If you didn’t, you should make a payment immediately or begin working with one of our enrolled agents to develop a payment strategy for when the IRS resumes operations.

Any payments you make to the IRS will be processed, including paper checks and online payments. You can also continue to use online IRS tools like Where’s My Refund? And your IRS Online Account.

How Should I Handle My Tax Debt During the Shutdown?

Now isn’t the time to take a break from your tax debt. At Highland Tax Group, we will walk you through your obligations during the shutdown. Our team of qualified professionals is here to help you strategize a plan that will keep you on track to resolve your tax debt and ideally avoid future penalties and interest. We can help you get things in order before the IRS is once again breathing down your neck.