The IRS said on Oct. 21 that refunds will be sent during the government shutdown to taxpayers who e-filed individual federal tax returns that are free of mistakes and use direct deposit.
The tax agency provided an update Tuesday on its website about the availability of certain IRS services during the stalemate. In the online announcement, the IRS said that despite operations being limited, “the underlying tax law remains in effect, and all taxpayers must continue to meet their tax obligations as normal.”
Regarding refunds, the agency said, “Tax refunds will generally not be paid during this period with one key exception. For taxpayers filing a Form 1040, refunds will continue to be paid on electronically filed, error-free tax returns that can be automatically processed and direct deposited. The IRS urges individual taxpayers to file electronically with direct deposit to avoid delays.”
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The agency added that during this period, it will accept and process any payments and remittances, whether received electronically or by mail.
One week after the shutdown began on Oct. 1, the IRS said that due to the lapse in appropriations, most agency operations would be paused until lawmakers reach a deal to reopen the government. The Treasury Department said Oct. 8 that it would furlough roughly 35,000 IRS employees, while nearly 40,000 workers would be kept on with pay to keep the agency functional during the shutdown.
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In its online update on Tuesday, the IRS said limited live telephone customer service assistance will be available. Most automated toll-free telephone applications will remain operational, the agency added.
IRS walk-in taxpayer assistance centers remain closed. The agency said it has canceled all appointments at TACs until the government reopens.
In addition, people with appointments related to the IRS Independent Office of Appeals or for Taxpayer Advocate Service cases are also canceled, and IRS personnel will reschedule those meetings when the shutdown end, the update says.
“With the 2026 filing season rapidly approaching, the IRS will be continuing some critical operations during this period to be ready for taxpayers,” the agency stated. “This includes testing and preparation of filing season programs and related issues.”
The online update lists the following important information for taxpayers:
- Taxpayers must continue to file and pay taxes as normal.
- All tax deadlines remain in effect, including those covering individuals, corporations, partnerships, and employers. The regular payroll tax deadlines remain in effect as well.
- The IRS will continue processing payments received, whether by check or electronic means, during this period.
- Taxpayers can file their tax return electronically or on paper––although the processing of paper returns will be delayed until full government operations resume. Payments accompanying paper tax returns will still be accepted and deposited as the IRS receives them.
- The IRS website, www.IRS.gov, will remain available, along with some of the automated tools on the site.
- Tax professionals, tax software companies, and Free File will remain available.
Other information the IRS provided in its update include:
- Automated applications: IRS.gov and some automated applications remain available, including “Where’s My Refund?”, the IRS2go phone app, and online payment agreements.
- Taxpayer correspondence: While the IRS will be able to receive mail and deposit tax payments received, the agency generally won’t be responding to paper correspondence. Taxpayers who mail in correspondence to the IRS during this period should expect a longer delay for a response after full government operations resume due to a growing correspondence backlog.
- Transcripts: If taxpayers and tax professionals need historical filing information to complete new tax returns, the IRS encourages the use of automated tools where this information will remain available. Learn more at About Tax Transcripts. In addition, the IRS will be processing transcript requests related to disaster relief.
- Income verification: The IRS Income Verification Express Service (IVES) will remain available. IVES lets taxpayers authorize mortgage lenders, banks, and others to request their tax return or wage transcripts for income verification. The IRS said it provides tax records to a third party only with the consent of the taxpayer.
- Tax-exempt groups: The IRS won’t be processing applications or determinations for tax-exempt status or pension plans.
- Enforcement activity: IRS Criminal Investigation work continues during this period, as does compliance work related to protecting statutes of limitations.
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Raymond Deaner October 29 2025 at 10:12 pm
Considering your comments on your post about e filing an error free refunds only meaning all the others with issues would not be processed until the end of the stalemate, is false. I made some mistakes on my 1040. In april and send it off without addressing my earned income credit, received a letter one month later about addressing that, was unable to contact I r s by phone to get input about my earned income credit, so it had errors. I left it be knowing I owed money, and voila, i receive a check paper check by mail. Refund far more in excess of what I expected beyond my text debt. And I just received it three days ago. So i'm just saying, the irs is misinforming people. Smoke and mirrors my friend. It's all about maintaining chaos and panic for the little guys, while the government gloats.