Despite government shutdown, Oct. 15 is the tax extension deadline

Despite the government shutdown, the October 15 federal tax extension deadline is fast approaching for many filers.

This process may be more difficult for some taxpayers after the IRS furloughed nearly half of its workforce. 34,000 employees – experts said earlier this week.

“If you need any kind of specialized client experience, it’s going to be a long process,” said Jennifer MacMillan, president of the National Association of Enrolled Agents, whose members are tax professionals licensed by the IRS.

The original tax deadline was April 15. If you cannot meet this deadline, Form 4868 for a six-month extension to file. However, your tax payment was still due on April 15.

Through fiscal year 2024, the IRS 20 million tax extension formAccording to the agency’s latest estimates. In 2025, this number is expected to be around 19.8 million.

Some taxpayers affected by natural disasters You will automatically have more time to file after October 15.

If you missed the April 15 tax deadline, late payment penalty is 0.5% of your monthly or partial month’s outstanding balance, with a maximum of 25%. Moreover be exposed to interest about unpaid taxes.

In comparison, penalty for failure to file 5% of unpaid monthly or partial monthly taxes up to 25%. If you have requested an extension, this will come into effect after October 15th.

The National Treasury Employees Association said filers “can expect wait times, backlogs, and delays in implementing tax law changes to increase as the shutdown continues.” he said in a statement Wednesday.

“Taxpayers across the country will now have a much harder time getting the help they need just as they prepare to file their extension returns next week,” the organization said.

However, some customer service representatives remain on the job as funds expire in 2026 emergency plan It came into force on Wednesday.

“IRS services may be negatively impacted during a government shutdown,” said Elizabeth Young, director of tax practice and ethics at the American Institute of CPAs. “However, electronic filing systems generally remain operational, so you can continue to file online.”

While it may be tempting to rush your tax return by the Oct. 15 deadline, mistakes can cause delays in IRS processing, according to Young.

The IRS has “very sophisticated software” that compares information returns such as W-2s and 1099s to what is reported in your filing. I told CNBC before.