On Wednesday, October 8, 2025, the IRS released an updated FY2026 Lapse in Appropriations Contingency Plan that calls for furloughing roughly 34,400 employees and shutting down many of the agency’s operations. This plan comes after the IRS remained fully open for the first five days of shutdown using Inflation Reduction Act funding. Under the plan, roughly 54% of the IRS’s employees will keep working to protect government assets, maintain essential systems, and prep for the 2026 tax season.  

If the IRS shutdown continues and the IRS is forced to operate under this plan for an extended period, you and your clients could see delays in refunds, transcript requests, and correspondence. However, there are ways that enrolled agents can mitigate some of the impacts.   

  1. Be Ready for Limited IRS Operations

Expect delays in routine services like phone call wait times and processing paper mail.  

Here’s how to stay on track:

    • Let clients know that delays are possible, especially for refunds and transcripts. 
    • File returns and extensions electronically to ensure they’re timestamped. 
    • Keep solid proof of timely filings and payments — think certified mail receipts or EFTPS confirmations. 

  1. Keep Tabs on IRS and Treasury Updates

Even during a shutdown, the IRS will share updates on its website and social media.  

Stay informed by: 

    • Signing up for IRS e-News for Tax Pros and QuickAlerts for e-file providers. 
    • Watching for alerts from NAEA will keep you in the loop as we continue to learn new information.

  1. Communicate Clearly with Clients

Government shutdowns can bode a lot of anxiety for clients so keeping them in the loop is helpful to keep them focused on preparing for the upcoming tax season. 

What you can do: 

    • Send out a quick email or post explaining the situation and what it means. 
    • Remind clients that state tax agencies are still open and operating normally. 
    • Use this moment to educate clients on good record keeping and the value of professional tax advice. 

  1. Use the Downtime for Professional Growth

If things slow down, take advantage of the breathing room. 

Make it count by: 

  1. Stay Compliant and Document Everything

Deadlines don’t disappear during a shutdown unless the IRS officially says so. 

Stay sharp by: 

    • Filing forms, payments, and extensions on time. 
    • Using secure cloud storage for client files.  
    • Document any open cases and correspondence. 
    • Check in with IRS contacts before acting on pending matters. 
    • Hold off on follow-ups until the IRS officially reopens. 

  1. Stay Connected with NAEA and Your Network

NAEA will keep members updated throughout the IRS shutdown. 

Stay engaged by: 

    • Following NAEA’s alerts, newsletters, and social media. 
    • Connecting with peers through local chapters and online forums. 
    • Sharing best practices and client communication templates. 

  1. Get Ready for the Reopening Rush

Once the IRS is back up and running, backlogs at the agency may be very prevalent. 

Be prepared by: 

    • Keeping a tracker of all client submissions and pending issues. 
    • Prioritizing follow-ups as soon as operations resume. 

A government shutdown may slow things down, but it doesn’t have to slow you down. By staying organized, proactive, and clear with your clients, you’ll continue to be the trusted expert they rely on. If you have any questions about the IRS’ activities during this time, please feel free to contact NAEA at advocacy@naea.org.