Government shutdown could delay tax refunds

As a partial government shutdown lingers and tax season approaches, taxpayers may not receive their refunds on time.

Two weeks into a funding stalemate between President Donald Trump and Congress over a border wall, about 800,000 government workers have been forced to take furloughs or work without pay.

With only about 12 percent of the Internal Revenue Service's staff currently working, tax refunds for millions of Americans may be delayed.

"The two words that you typically hear most people use when it comes to their tax refunds - either a savings account... or a bonus," said financial advisor Chuck Zodda of the Armstrong Advisory Group. "In a lot of cases, families rely on this money to really provide for their families."

Zodda tells Boston 25 News there are stopgap measures that can be implemented to prevent refund delays, including only funding certain parts of the government, like the IRS. But if nothing happens soon, refunds will certainly be delayed.

"In general, you probably have about two to three weeks to get something in place before refunds start being affected in any meaningful fashion," Zodda said.

Last year, Zodda said, refunds started in the last few days of January. By Feb. 16, 32 million people had received tax refunds, totaling $102 billion.

>>MORE: Tax refunds could be delayed with no end in sight to government shutdown

Whether or not the agency can process the refunds in time this year, taxpayers are still required to file their taxes by the usual deadline, April 15.

"Even though the IRS might not be giving you refunds right now, they still do want your taxes in on time and filed on time," Zodda said. "And they’re still more than happy to collect your money even though they might not be able to pay out refunds."

Cox Media Group