In order to avoid further delays
during the 2012 tax season, the Internal Revenue Service plans to begin its
furloughs after the April 15th filing deadline. Officials have said the
furloughs would be necessary to adjust for the sequestration, which started
Friday and continues through September. The IRS will require five to seven days
of unpaid leave for many of its employees.
Although a formal notice of furlough
has not been seen, talks have already taken place between the IRS and the
National Treasury Employees Union regarding these spending cuts. And the
furloughs are expected to begin sometime this summer.
Some are concerned that these cuts
and furloughs will leave taxpayers frustrated because they can’t get answers
when calling the IRS and taxpayer assistance centers. Others are saying these furloughs could mean
fewer audits will be performed by the IRS.
Many government employees (such as
the FBI, the Transportation Security Administration and the Department of Education) will experience furloughs,
but they won’t get blindsided by being sent home – in most cases, the agencies
must give workers at least 30 days advance notice before requiring them to take
The day we should all be watching is
March 27th. That is when the budget that funds the federal
government expires. The federal government will
shut down – unless Congress can agree to extend the funding. Not sure how they
will come to an agreement when they planned for their two-week Easter vacation to
begin on March 21st.
No matter what questions or concerns you may
have, Liberty Tax can help. And if you do happen to get audited, Liberty Tax
Service will be with you every step of the process.