Saturday, April 02, 2011

Shutdown Would be Tricky for IRS, Commissioner Says

On Thursday, the head of the IRS warned that a federal shutdown during tax season would be a challenge that they are not prepared for.

The reports:

Doug Shulman, the IRS commissioner, also signaled at a House Ways and Means subcommittee hearing that his agency was discussing how to address a potential shutdown with the Obama administration, though he did not spell out any details of those talks.

“We run a $13 billion financial services operation, so the idea of stopping it for a few days or a few weeks is strange,” Shulman said, adding that he was hopeful, based on ongoing negotiations, that a shutdown could be averted.

“Our old plan was: We deposited checks, we didn’t process returns. That was a plan that was built in ’95 when there wasn’t so much electronic filing, and now we’re closely looking at it,” he added.

The deadline to file taxes this year is April 18, and the federal government is currently funded through April 8. The government shutdowns during the Clinton administration occurred in fall and winter months.

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