
If Congress doesn’t pass new funding legislation in the next couple of weeks, the federal government will shut down. Given the timing, you might understandably be worried about what this means for your tax return.
The US narrowly averted a government shutdown in December after Elon Musk’s involvement resulted in a continuing resolution proposal being reworked heavily at the last minute. We’re now less than a month away from the new funding deadline set by that bill, and the signs of friction are already starting to show.
This past week, Democratic Sen. Andy Kim of New Jersey said he would support a government shutdown in response to President Donald Trump’s recent slashing of the federal workforce and congressionally approved spending. “This is on them,” Kim told NBC News. “They are the majority.”
The government has shut down or suffered funding gaps at least a day long 20 times in its history, all in the past 50 years. The most recent shutdown lasted 34 days, spanning the end of 2018 into the start of 2019 during Trump’s first term. No shutdowns have happened since then, but the threat of one has become increasingly common in the current political climate.
With a month left until the next funding deadline, read on to find out what might happen to your tax return during a shutdown. For more tax coverage and tips, find out what Trump’s External Revenue Service means for you and if your state has its own version of the child tax credit.
When is the deadline for Congress to fund the federal government?
Congress has until March 14 to pass legislation to keep the federal government funded and avoid a shutdown. This can be done with either a full-on federal budget or a temporary continuing resolution, the latter of which has become more common in a highly polarized Washington.
When is the deadline for filing my tax return?
As it is every year, you have until the end of the day on April 15 to submit your tax return to the IRS. This year, that falls on a Tuesday.
Certain parts of the country affected by recent natural disasters — including floods, hurricanes and wildfires — have had their tax deadlines extended, so make sure to check on the details for your specific area.
Will a government shutdown affect my tax return?
The impact that a government shutdown would have on tax returns is an open question. While there have been shutdowns in the past, none has occurred during tax filing season.
Typically, a shutdown sees all nonessential government functions stop and the employees involved in those functions furloughed. A 2024 contingency plan released by the Department of the Treasury claimed that during a shutdown, essential IRS functions would continue, but there’s no telling how things would actually play out until a shutdown actually happens.
Speaking with CNET previously, Tracey Spivey, a partner with accounting firm KPMG, said that, in all likelihood, returns submitted electronically during a shutdown should be processed like normal. Unless they contain an error, in which case your return could be delayed. On the other hand, if you opt to file via a hard copy, a delay is likely.
Will a government shutdown affect my tax refund?
Any tax refund you’re set to receive will likely fall under the same possibilities outlined above: A potential delay would depend on how many IRS workers are furloughed during a shutdown, but a delay is very likely if you don’t file electronically.
For more, see what the future might hold if pennies cease production.