Have you filed your taxes yet? The deadline is still a couple months away, but a big move by the Internal Revenue Service, or IRS, could impact when you get your return.
The IRS is poised to lay off thousands of “probationary” employees this week, meaning those with two years or less on the job.
It’s a move in line with the Trump administration’s effort to decrease the size of the federal workforce.
Tax season is among us. While it’s always recommended to get your information in early, trading the paper for your computer is top of mind this year, too.
Experts say doing your taxes electronically, early and accurately could save you from a headache as IRS layoffs are set to begin.
"I think that getting help via an individual or through a correspond IRS is going to be very difficult over the course of 2025,” Sara Spodick, the tax clinic director at Quinnipiac University’s School of Law, said.
Direct File is a filing tool by the IRS that allows taxpayers of any income to file their taxes for free.
She said the IRS has had staffing problems since the pandemic, where taxpayers experienced delays with in-person and telephone service, especially related to paper filings.
Now, the concern is that less people at the IRS will create delays for person-to-person interactions, like those required for paper filings or help with a rejected electronic filing.
She said 18 million electronic tax returns were rejected in 2024.
“If you're in a situation where you have made an error or your return has been rejected, you could expect extensive delays because people are being going to be redeployed after these cuts,” Spodick said.
"I’m afraid that we're going to go backwards,” said Courtney Gilrein, an enrolled agent with MMNT Certified Public Accountants.
The IRS provides some options if you are unable to file your tax return on time.
Gilrein said COVID-era IRS delays would sometimes result in four hour wait times on the phone, with some paper filing returns taking up to two years to process.
"Get your tax documents into your tax preparer as fast as possible so that they can get it going. And if there are any issues with the return, then, we can handle it now when there's people actually in the office,” Gilrein said.
Experts recommend if you need to call the IRS to do so Tuesday through Friday starting at 7 a.m. ET, because those days and times tend to be lower call volumes.
