Tax Byte
Capitol Hill Connection: Federal Gov’t Shutdown Looms
A federal government shutdown looms as lawmakers on Capitol Hill struggle to reach consensus on fiscal year 2024 appropriations. In other words, Congress has just four days to get it together on the funding front before the lights go out on October 1.
A senior congressional aide told Western CPE on September 25 that a “clean” continuing resolution (CR) is expected to pass just in the nick of time this week to keep the government’s doors open, which will likely run through mid-November or December. Typically, CRs are used as a stopgap measure to continue the level of government funding at the prior year’s appropriations level.
IRS Shutdown
Of course, a federal government shutdown would impact Treasury and the IRS, though to what extent remains to be seen. And just when things were starting to look on the up-and-up.
“Even a partial IRS shutdown will adversely impact the morale of the IRS workforce as well as ongoing efforts to recruit new employees for vital roles in taxpayer services, modernization efforts, and compliance,” former IRS Commissioner Charles Rettig said. “Current and prospective IRS employees have numerous options for employment in other organizations not similarly impacted by a dysfunctional Congress.”
The National Treasury Employees Union (NTEU), which represents federal employees in the IRS, among other agencies, confirmed last week that the IRS would be impacted by a government shutdown this year.
“The IRS has yet to release its final plan, so we do not know the full scope of the impact of a government shutdown on IRS employees,” NTEU President Doreen Greenwald said in a statement. “NTEU became aware from our members that the IRS was developing a new contingency plan that includes furloughing some of its workforce.”
And what would that mean for the upcoming October 16 deadline? My crystal ball is on the fritz this week, so only time will tell.
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