A reader was browsing the internet the other day and sent me this hopeful email:
CNN is reporting that the government might shut down because of the budget. Does that mean we’ll get some extra time to file our taxes? (Fingers crossed)
Sorry. Might as well uncross those fingers now… No matter what happens with the budget, Tax Day is still April 18, 2011. In case you missed the earlier announcement, Tax Day traditionally falls on April 15 unless that day happens to be on a Saturday, Sunday or federal holiday. This year, April 15 falls on a Friday – not a Saturday, Sunday or federal holiday – but also falls on Emancipation Day, an official public holiday, in D.C. Because of that, this year, Tax Day jumps ahead one business day to Monday, April 18, 2011.
Also happening in D.C. this time of year? Budget talks. April 18 just happens to fall a few days after a potential shuttering of the government on this Friday, April 8, if no deal can be reached on the budget. The April 18 deadline holds firm nonetheless. IRS Commish Doug Shulman has announced that any government shutdown will not affect the due date of federal income tax returns.
But those IRS folks aren’t working for free, right? Of course not. If the government does shut down, there will be a delay in processing paper returns (those hand delivered or submitted via USPS or private delivery service). That could mean a lag in your refund if you submit a paper return this year. However, the processing of e-filed returns will not be affected.
There is some good news, though. Most likely, audits and other activities not related to actually receiving returns, will slow or stop during any shutdown (of course, not such great news for practitioners trying to get matters off of their desks).
So, um, back to work. You have to get those returns done, right?
what about processing and payment of tax refunds? will that be affected?
That would really tick me off if this “shut down” delayed my tax return. I didn’t have the choice to do e-filing because I was a first-time home buyer and the government won’t allow us to e-file because we need to show proof of this, that and the other thing. I sent all my stuff in about 2 weeks ago so I’m hopeful it will not be affected. But our hot water heater just broke so the 1st-time-homebuyer tax credit money would really come in handy now!
Such amateur theater to the extreme. Just agree and then pass a typically lousy bill that takes even more from your constituents (both parties) and be done with it.
It might be instructive to review the blog post and image below for a visual representation of the budget battle:
http://open.salon.com/blog/richard_rider/2011/04/06/useful_pie_chart_of_our_federal_2011_spending_budget
We’re overspending. We need to reassess our priorities before the really bad stuff happens.