IRS Furlough Cancelled: Agency will Stay Open on 7/22

July 17, 2013 — Leave a comment

The Internal Revenue Service will stay open for business next Monday, July 22, 2013, despite a previously scheduled furlough day.

Due to funding challenges, the agency has already closed it’s doors to the public on three occasions this spring and summer. The IRS implemented furlough days, unpaid days for all IRS employees, as a result of budget concerns, including the sequester.

“They were controversial since on those days, the IRS shut down completely leaving taxpayers and practitioners without access to IRS resources, including the Taxpayer Advocate Service and taxpayer assistance centers. Offices were closed, returns were not processed and refunds were not issued. The temporary closures, together with staffing shortages, contributed to long hold times and delays in responding to written correspondences.”

Next Monday would have been the 4th furlough day; however, the agency has found a way to stay open. In exchange for keeping its doors open, acting IRS Commissioner, Danny Werfel, has said that a number of ‘planned bonuses’ will be canceled.

Werfel announced that “bonuses for managers would be cut and bonuses for senior executives were being examined but he could not commit to withdrawing bonuses for union employees which had been characterized as a legal obligation under a collective bargaining agreement.”

The Obama administration had instructed agencies to cancel discretionary bonuses because of automatic spending cuts; nonetheless, it still took the IRS three furlough days to get its act together.

The IRS has not yet announced whether the next scheduled furlough day, planned for August 30, will occur.

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