February 28, 2024
SAGE Private Wealth Group is committed to keeping our clients well-informed and prepared. As we approach the start of tax filing season, we would like to take a moment to bring your attention to the possibility of a government shutdown. Though the timing and likelihood are uncertain, this may have an impact on service deliveries from the Internal Revenue Service (IRS).
The following are a few considerations to keep in mind:
Tax filing timing
During a government shutdown, remember that all tax obligations remain in effect. This means that taxes are still due (including estimated payments and payroll), and tax returns should be filed according to the usual deadlines.
Electronic filing
Given the potential for reduced IRS taxpayer services during the shutdown, it is recommended by the American Institute of CPAs® to file your taxes electronically. This method eliminates the need to communicate directly with the IRS making it more efficient and can help avoid potential delays in processing. Setting up electronic payment methods may also help reduce the likelihood of lost mail and payments.
IRS correspondence
Reaching the IRS by phone will likely be challenging during the shutdown. You may still receive automated letters from the IRS.
IRS examinations
IRS examinations will likely be paused during the shutdown period.
While uncertainties may arise, SAGE is here to support you as you navigate any situations that may arise. Should you have any tax related questions, please consult your tax professional.
Sources: American Institute of CPAs®: https://www.aicpa-cima.com/professional-insights/article/irs-shutdown-oops-it-may-happen-again American Institute of CPAs®: https://www.aicpa-cima.com/resources/download/client-letter-and-faq-for-a-government-shutdown-during-tax-season SAGE Private Wealth Group does not provide legal or tax advice. The information herein is general and educational in nature and should not be considered legal or tax advice. Tax laws and regulations are complex and subject to change, which can materially impact investment results. SAGE Private Wealth Group cannot guarantee that the information herein is accurate, complete, or timely. SAGE Private Wealth Group makes no warranties with regard to such information or results obtained by its use, and disclaims any liability arising out of your use of, or any tax position taken in reliance on, such information. You should always consult an attorney or tax professional regarding your specific legal or tax situation.
