Daily Tax Update - October 8, 2013: President: "Let's Get Down to Work" on Budget Differences

President: "Let's Get Down to Work" on Budget Differences:  In remarks today, President Obama urged an end to the government shutdown.  The President said that he would be willing to accept a short-term deal to reopen the government and raise the debt ceiling.  However, he said that the agreement would have to be a “clean” bill to raise the borrowing limit and fund the government.  The President said, “The point is, I think, not only the White House but also Democrats in the Senate and Democrats in the House have shown more than ample willingness to talk about any issues that the Republicans are concerned about.  But we can't do it if the entire basis of the Republican strategy is, we're going to shut down the government or cause economic chaos if we don't get a hundred percent of what we want.  So my suggestion to the speaker has been and will continue to be, let's stop the excuses, let's take a vote in the House, let's end this shutdown right now, let's put people back to work.  There are enough reasonable Republicans and Democrats in the House who are willing to vote yes on a budget that the Senate has already passed.  That vote could take place today.  The shutdown would be over.  Then serious negotiations could proceed around every item in the budget.”

Today, House Republicans floated a proposal that would establish a bipartisan, 20-member deficit reduction working group.  House Democrats quickly dismissed the idea.  Rep. Xavier Becerra (D-CA), head of the House Democratic Caucus and member of the original supercommittee reacted to the idea saying:  "Not again.  Not again.  Oh my gosh."  The President also downplayed the idea of a bipartisan debt panel saying, “The leaders up in Congress they can work through whatever processes they want, but the bottom line is either you're having good faith negotiations in which your having a give and take or you're not.”

IRS Reminds Taxpayers of October 15 Deadline:  The IRS reminded taxpayers that the October 15 deadline remains in effect for people who requested a six-month extension to file their tax return.  The IRS statement said, “The current lapse in federal appropriations does not affect the federal tax law, and all taxpayers should continue to meet their tax obligations as normal.  Individuals and businesses should keep filing their tax returns and making deposits with the IRS, as required by law.”  The IRS added, “IRS operations are limited during the appropriations lapse, with live assistors on the phones and at Taxpayer Assistance Centers unavailable.  However, IRS.gov and most automated toll-free telephone applications remain operational.”