Partial federal government shutdown could impact tax refunds in Minnesota

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Millions of United States taxpayers will still receive refunds despite an ongoing partial government shutdown, the White House has said.

"They're actually still right now working on the tax returns getting them prepped getting them ready and to the point of being able to release funds they're just not able to release funds until the government shutdown is over", says Shelby Dahl, general manager at Liberty Tax Service. Last year, the IRS issued billions of dollars in refunds - an average of more than $2,000 (£1,600) per filing.

The decision has yet to face any challenge from the Office of Management and Budget.

However, with the IRS short-staffed during the government shutdown, many Virginia families are at risk of receiving a delayed return that could impact their personal finances.

Since tax season ends April 17th people still need to file their taxes and workers doubt that the government shutdown will last that long.

Many hardworking families are counting on their tax refunds to catch up on bills or pay down their debt.

The shift from the White House comes as officials prepare for an extended shutdown.

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Vice President Mike Pence says the White House is looking into the legality of declaring a national emergency to circumvent Congress and begin construction on President Donald Trump's long-promised Southern border wall.

Sens. Warner and Kaine have been outspoken against President Trump's use of a government shutdown as a negotiating tactic.

Monday's announcement is a reversal of a traditional policy whereby Americans are allowed to pay taxes during a shutdown, but refunds are not issued.

Meanwhile, some economists and experts are scratching their heads, wondering how Trump will accomplish paying out tax refunds during a federal government shutdown. More than 70 percent of Americans receive money back from the IRS during tax season.

That's what will happen if the shutdown continues past the opening date for tax returns. Additionally, a 1040 form has been reduced to the size of a postcard and is expected to draw questions as people file 2018 tax returns.

The IRS will pay tax refunds even as the agency is limited in its capabilities because of the government shutdown.

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