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If Government Shuts Down
The last government shutdown was in 1995 under the Clinton Administration. Its highly recommended to file your tax return E-File for faster refund because the electronic depositing system will continue. This shut down will threaten the economical recovery as more and more people become unemployed, once again. On the bright side it will stop IRS tax audits.
...if Congress can’t reach a deal to keep the federal government going when the current temporary funding resolution runs out at midnight on Friday, April 8th.
Examples of what will be open and shut.
• The Internal Revenue Service will cease issuing tax refunds claimed on returns that are filed by paper. But those who E-file and have their refunds electronically deposited in their accounts will continue to get their money, since this involves the same processing functions that the government uses to debit money due on E-filed returns. On the bright side, IRS audits will cease.
• Loans backed by the Small Business Administration and Federal Housing Administration won’t be processed. (The FHA now guarantees 30% of new mortgage originations, and this is home buying season, an Administration official pointed out.)
• Current Social Security and Medicare beneficiaries will continue to receive benefits.