According to the Internal Revenue Service (IRS), electronic filing systems remain operational, and online submissions will continue as usual.
The federal government might be in partial shutdown, but the IRS isn’t taking a break. Taxpayers who filed for an extension back in April still have until October 15 to submit their 2024 tax returns — no exceptions, even if the shutdown drags on.
According to the Internal Revenue Service (IRS), electronic filing systems remain operational, and online submissions will continue as usual. More than 34,000 IRS employees — nearly half the agency’s workforce — have been furloughed since October 8, but essential operations are maintained under its contingency plan.
“During a government shutdown, there could be impacts to IRS services,” said Elizabeth Young, director of tax practice and ethics at the American Institute of CPAs. “However, electronic filing systems typically remain operational, so you can still file online.”
The National Treasury Employees Union (NTEU) cautioned that taxpayers could face “increased wait times, backlogs and delays.” “Every day these employees are locked out of work adds to taxpayer frustration and a growing backlog that won’t move until the shutdown ends,” the union stated.
Experts also say more complex cases could face significant slowdowns. “It’s going to be a long haul,” warned Jennifer MacMillan, president of the National Association of Enrolled Agents. “Anyone who needs specialized support should expect extended delays.”
The IRS estimated that about 19.8 million taxpayers would request extensions for 2025 filings, and the agency actually received over 20 million in fiscal year 2024.
Keep in mind that penalties still apply if you fail to pay on time. The late payment penalty is 0.5% per month of the unpaid balance, up to 25%, while the failure-to-file penalty is 5% per month, also capped at 25%. For those who filed extensions, these penalties start October 15.
Some taxpayers automatically receive more time even without formally requesting an extension. Military personnel stationed outside the U.S. and Puerto Rico have an automatic two-month extension (until June 16 this year), though payments were still due April 15 to avoid interest. Service members in combat zones get at least 180 extra days after leaving the combat zone to file and pay. U.S. citizens and residents living and working abroad also have until June 16 to file, though payments are still due in April. Taxpayers in federally declared disaster areas may qualify for automatic extensions to both file and pay, with updated details available on IRS.gov.
Even amid political gridlock, one thing is certain: the IRS clock doesn’t stop ticking. If you received an extension, your best move is to file electronically and on time — by October 15 — to avoid unnecessary penalties or interest.