Got a Tax Extension? Despite the Government Shutdown, Returns Are Due Wednesday

The government may be shut down over a budget stalemate, but the IRS still expects to receive your tax return on time.

Taxpayers who requested an extension by the April 15 filing deadline have until Wednesday (Oct. 15) to file their 2024 income taxes without incurring penalties. As the shutdown heads into its third week, nearly half of IRS employees have been furloughed; however, according to the agency’s updated contingency plan, 53.6% of staff (or about 40,000 people) remain on duty.

Still, the National Treasury Employees Union has warned that the shutdown could slow some IRS operations.

“Taxpayers around the country will now have a much harder time getting the assistance they need, just as they get ready to file their extension returns,” the union said in a news release.

The IRS says it received more than 20 million extension requests this year — over 12% of all filers — though some in areas hit by natural disasters automatically have extra time to file. For instance, all taxpayers in Arkansas and Tennessee now have until Nov. 3 to file their federal returns due to severe storms that began on April 2.

Wondering how the shutdown could affect your extended tax return? Here’s what to know.

Do you still have to file taxes if the government is shut down?

Yes. In a Tuesday news release, the IRS reminded Americans "that the current lapse in appropriations (the government shutdown) does not affect the tax filing and payment responsibilities of taxpayers."

So if you filed a tax extension, you still have to file your return by 11:59 p.m. Wednesday in your local time zone to avoid penalties.

Can you file taxes online if the government is shut down?

Yes. Despite the government shutdown, electronic filing systems remain operational. The IRS Free File program, which lets folks making under $84,000 a year file online through a trusted partner for free, is typically available until midnight local time. Free File Fillable Forms, which are available to all income level, will also be available through Oct. 20.

The IRS news release confirms it "will accept and process any payments and remittances received, whether received electronically or by mail."

What if you miss the Oct. 15 tax extension deadline?

If you miss the extended deadline, you could face late-filing penalties and interest on any taxes owed. The late payment penalty is 0.5% of your unpaid balance per month (or partial month), up to a maximum of 25%.

As a reminder, requesting a tax extension back in April gave you more time to file your tax return, not to pay any money owed.

Are there other ways to get more time to file taxes?

Yes — but not because of the government shutdown. Taxpayers affected by federally declared disasters may qualify for extensions, and Americans living abroad on the due date receive two extra months to file.

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