Questions About 1099

If the government has to shutdown because of the budget showdown, it won’t affect the income tax return deadline. It was extended this year due to a city holiday in Washington D.C. That said, it is still April 18 The agency recommends that people electronically file. The bad news, however, is that a shutdown means it will take longer for people to receive a refund check.

All employees in IRS impacted

There are going to be few agencies that do not have to worry about a government shutdown. The Internal Revenue Service won’t be among them, and all IRS agents and personnel could be told to stay home as long as the shutdown lasts. Unfortunately, according to Bloomberg, that does not mean the deadline to file an income tax return is postponed. The government shutdown will, unless an unlikely deal is made at the 11th hour is made, start on April 8.

Electronic filing will help a lot

None of the paper returns could be received by the IRS if there’s a shut down. That means paper returns will not be sent back either, so no refunds. Taxpayers are asked to file electronically to avoid normal processing.

The change government workers would face

Since Congressional Republicans don’t want Planned Parenthood to get any funding for the abortions it does, the shutdown might take place. Members of Congress, according to CNN, and the president, will nevertheless get their salaries automatically. The government employees are the ones that would be most affected. Those who are considered “unnecessary personnel,” or individuals who do not perform services for the government that guard the life or property of the individuals, will be sent home. Those who perform necessary services, like the Federal Bureau of Investigation and the military, will still have to go to work. There is no guarantee that they’ll get money for that time that they work while they are working for free.

Information from

Bloomberg

bloomberg.com/news/2011-04-07/shutdown-won-t-budge-april-18-tax-filing-deadline-irs-says.html

Times

curiouscapitalist.blogs.time.com/2011/04/08/tax-refund-fears-would-a-government-shutdown-hurt-spending/

CNN

money.cnn.com/2011/04/08/news/economy/shutdown_congress_pay/index.htm

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