Paper Filed Return Prior to IRS Shutting Down

[Uncle Sam]

I had a 2019 tax return that required a paper filing.
I brought it to post office, had it certified and return receipt request (the green postcard).
Then - a few days later - IRS announced its shutting down.
I have been advised on recent webinars to not complete a return receipt request because noone is there to sign it. Okay, Got it.
However, I sent it out prior to the IRS announcement.
At this point, I don't care about the green card signature.
My question is - will the tax return get processed like a normal return? Or will it be held up until IRS opens up again?

[TAX4US]

I am concerned. TP recently sent his 2016 return in by certified mail with a rather large refund. If no one around to sign then will tp still get their refund from 2016. BTY they filed a extension in 2017 for the 2016 return. tp has had some long term medical issues and lost half his paperwork. Transcript received closed a lot of holes.Refund or not whats your take?

[ATSMAN]

Journal of Accountancy had a piece on this. IRS already announced that they are suspending most operations including audits and collections until 7/15. I had one client whose e-file got rejected and had to paper file and I warned him not to expect any action until 7/15. You just have to prepare your clients what to expect.

[TaxGuyBill]

It would seem extremely unlikely the IRS would quit processing tax returns. They are just limiting or eliminating non-essential things. But it does seem quite likely that it will take more time than usual to process them.

Although it was updated over a week ago, the webpage says "the IRS is continuing with mission-critical functions to support the nation, and that includes accepting tax returns and sending refunds". It continues to list what is still operational and what is not operational. There is no mention that processing paper-filed returns are suspended, so all indications would be that prior statement of accepting tax returns also applies to paper-filed returns.

https://www.irs.gov/newsroom/irs-operations-during-covid-19-mission-critical-functions-continue

[Uncle Sam]

Thank you for the link

[Burke]

.
Bottom line: If you expect any kind of interaction with an IRS human being, to include opening mail and processing paper returns or mailed payments, you better have a truckload of patience!!

I'll just betcha that payments will still be processed! Don't they go to a lockbox in a bank?

[Uncle Sam]

While I realize that all employees involved with taxpayer contacts - phone, e-mail, fax, followups on correspondence - have been shut down, I can't imagine that IRS would stop processing of mail involving filing of tax returns. That would be a distinct disadvantage to those who MUST paper file due to conditions where e-filing is not permitted. Yes - slowdown of process schedule - but not total hold until July 15th.
In my situation - this involved a refund for a taxpayer.

[TAXNJ]

While I realize that all employees involved with taxpayer contacts - phone, e-mail, fax, followups on correspondence - have been shut down, I can't imagine that IRS would stop processing of mail involving filing of tax returns. That would be a distinct disadvantage to those who MUST paper file due to conditions where e-filing is not permitted. Yes - slowdown of process schedule - but not total hold until July 15th.
In my situation - this involved a refund for a taxpayer.

Why don’t you just send it in? Only way to find out is to send it in and see if you get a result. If no success you can resend after things get better.

[Uncle Sam]

If you read my first post - I mailed it in just a few days PRIOR TO IRS's announcement of shutting down.

[TAXNJ]

If you read my first post - I mailed it in just a few days PRIOR TO IRS's announcement of shutting down.

Correct. Hopefully they addressed your submission before reducing operations. Good luck

[Rapid Robert]

Then - a few days later - IRS announced its shutting down.

Can you provide a link or cite for this announcement and the date it was made? Or even what date you yourself are referring to?

On March 21, an IRS press release stated "IRS Commissioner Chuck Rettig. [said]. Although we are curtailing some operations during this period, the IRS is continuing with mission-critical operations to support the nation, and that includes accepting tax returns and sending refunds." That doesn't sound like "shutting down" to me.

On April 9, another IRS press release stated "The IRS is not currently able to process individual paper tax returns. If you already have filed via paper but it has not yet been processed, do not file a second tax return or write to the IRS to inquire about the status of your return or your economic impact payment. Paper returns will be processed once processing centers are able to reopen."

However it seems like we get more valuable news from 3rd parties these days than directly from the IRS, so who knows.

[Uncle Sam]

To stop all this questioning of my information - I have a postal cash register receipt as well as a Certified Mail Receipt of both the Federal and NYS tax returns DATED MARCH 26, 2020. The NYS Tax Department has already rubber stamped a date received of April 2, 2020 on the green return receipt request card. I certainly don't expect IRS to process the return that quickly - however it wasn't until MARCH 30th or 31st did it officially announce it was officially shutting down.
My question still remains - even if the green postal card were not to be answered because of no staff available to respond - would the 1040 still be processed as if it didn't have the return receipt card?
If there is no reliable answer and noone knows - that's ok - I'm not offended - but to continually be controversial over a situation where all the material facts were provided doesn't help. I don't expect any responder to assure me of what is not known - but merely advise if they've had a similar situation in the past and what was the result?

[TaxGuyBill]

Rapid Robert gave the answer that was released today. Today's news release (IR-2020-68, April 9, 2020) said they are NOT processing paper returns right now.

https://www.irs.gov/newsroom/irs-urges-taxpayers-to-use-electronic-options-outlines-online-assistance

[sami]

Does this means they are not accepting amended tax returns with notice dated April 15th?

[Uncle Sam]

While that newsroom announcement provided some input - it didn't disclose AS OF WHAT DATE they stopped processing. Was it the day IRS announced shutdown or yesterday? So it's possible that returns that have been received between March 30-April 9 HAVE BEEN processed.
That is being discriminatory towards those who have filed amended returns to be in compliance, with balance dues to provide money to the U S Government, correspondence from CP2000 notices, etc.
Also - as we all know - not every type of a return is eligible for e-file.

Since this is the normal time when CP2000 notices come out for 2018 returns, is IRS going to stop generating those notices now that they're officially shut down?

I've got one situation where when a client sent me 2019 information, sent me a form he found dealing with 2018 - where a material amount of gross proceeds from 1099-B hadn't been reported. I immediately got an amended return out to him, and only within the past month did he send in a check for balance due. I KNOW he's definitely a candidate for CP2000 notice, unless he immediately sent in the 1040X with check before the shutdown.
It's anyone's guess at this point. We all have to stick this one out.