The IRS reopened on Oct. 17 as Congress came to an agreement late Oct. 16 to fund the government and raise the debt ceiling. The 16-day government shutdown took its toll on IRS operations, however, as the agency announced on Oct. 22 that the 2014 tax season would begin one to two weeks late.

The filing season was originally scheduled to start on Jan. 21, 2014, but the IRS said it would not start accepting or processing 2013 individual tax returns until Jan. 28 at the earliest and Feb. 4 at the latest. That may change, however, and Acting Commissioner Danny Werfel will announce a final decision in December.

The IRS explained that the shutdown came during the peak period for preparing IRS computer systems for the 2014 filing season. With nearly 90% of IRS operations closed during the shutdown, the agency was forced to delay its preparations.

The IRS also issued two frequently asked questions (FAQs) on the resumption of field collections activities and field examination activities. The agency emphasized that examiners were legally unable to perform their duties during the shutdown period. As a result, missed appointments and delayed implementation of installment plans will have to be rescheduled. Agents will reach out to taxpayers or their representatives after completing administrative assignments and handling backlogs, the IRS said. Taxpayers can reach out to agents during normal business hours.

The FAQs indicate a similar approach to examinations. Agents will reach out to taxpayers or their representatives to re-establish contact, although that process may take a number of days. The IRS declined to offer extensions or penalty relief for late filings, although the agency may do so in the future. In the interim, taxpayers should adhere to the original due date for any IRS request. Taxpayers unable to meet those due dates should contact their assigned auditor to discuss options.

During the closure of the federal government, the IRS said, it received more than 400,000 pieces of correspondence, on top of an inventory of more than 1 million unanswered documents. It is likely to take several more weeks for the IRS to resume normal operations. See  Tax Legislative Update 2013-06 for more details.

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