Furloughed IRS Employees Will Receive Back Pay Upon Shutdown End.

The IRS has started sending mass furlough notices to employees, shuttering most operations due to a government shutdown that has extended beyond its initial contingency plan. However, employees who are not exempt or excepted from the furlough will receive back pay once the shutdown ends.

In an updated contingency plan, the agency plans to keep 53% of its employees working, mainly in public-facing taxpayer services positions. Most operations have been closed due to a lapse in appropriations, with employees being placed in non-pay and non-duty status during the furlough period.

The Government Employee Fair Treatment Act of 2019 requires federal employees who are furloughed or required to work during a lapse in appropriations to be compensated for the period of the lapse. Employees will receive formal notifications and have up to four hours to close out work requirements before being placed on furlough.

Some staff members are not being furloughed due to their specific duties, while others may be subject to changes in their work status based on the agency’s contingency plans. The IRS is preparing for next year’s filing season and scrambling to prepare for major changes to the tax code as part of President Trump’s “Big Beautiful Bill”.

Source: https://federalnewsnetwork.com/government-shutdown/2025/10/irs-shutters-most-operations-furloughs-employees-as-shutdown-continues