10/10/2025
For Immediate Release
An estimated 34,000 employees, representing nearly half of the Internal Revenue Service (IRS) workforce, have been furloughed due to the ongoing government shutdown that began on October 1, 2025. The IRS initially remained fully staffed for the first five business days of the shutdown using funds from the 2022 Inflation Reduction Act, but with the shutdown's continuation, it activated a new contingency plan for longer-term closures. The furloughs and closure of most operations will likely cause delays and complications for taxpayers.
Impact of the furloughs on taxpayers
Reduced services: Most IRS operations are now closed. This includes taxpayer call centers, most in-person services, and the Taxpayer Advocate Service, which assists people facing hardships with the IRS.
Delayed processing: The processing of paper-filed tax returns, mailed correspondence, and payments has been suspended. While electronically filed returns and automated refunds are expected to continue, taxpayers should anticipate significant delays, especially if direct interaction with IRS staff is needed.
Enforcement activities paused: Enforcement actions, audits, and appeals activities have also been largely paused.
October 15 deadline: The timing of the furloughs is particularly impactful, as it occurred days before the October 15 deadline for individuals who filed for an extension on their 2024 taxes. The IRS still expects taxpayers with extensions to file on time, but they may face delays in having their returns processed.