ITIN Application Processing Delays During U.S. Federal Shutdown (Oct–Nov 2025)
- Kader Ameen
- 3 hours ago
- 3 min read
ITIN APPLICATION PROCESSING DELAYS DUE TO FEDERAL SHUTDOWN BETWEEN 1STÂ OCT 2025 TO 13THÂ NOV 2025.
As you might have seen on the news, the U.S. Federal Government has been shut down since 1st October 2025 and resumed operations on 13th November 2025, after Congress failed to pass appropriation legislation for the 2026 fiscal year budget. The shutdown resulted in the furlough of roughly 900,000 federal employees and kept another two million working without pay. One of the departments affected by the federal shutdown is the IRS ITIN operations office, which resulted in a significant slowdown in ITIN application processing.
Taxpayers, especially non-residents, dependents, and foreign partners, often experience unexpected delays because the IRS temporarily reduces staffing, stops processing certain mail, and prioritizes only critical services.
If you’re waiting for an ITIN or planning to apply soon, understanding how a federal shutdown affects timelines will help you prepare and avoid unnecessary stress.
How a Federal Shutdown Impacts ITIN Processing Timeline
1. Longer Processing Times
During a shutdown, the IRS suspends or slows non-essential operations. ITIN processing is among the first areas impacted because it requires in-person verification and manual document handling. This means:
Applications may sit unprocessed for weeks or months
Standard 8–12 week timelines can extend significantly
Renewals may take longer than usual
If you're working with strict filing deadlines, this delay may affect your overall tax compliance.
2. Delayed Mail Handling & Document Verification
ITIN applications submitted by mail often remain unopened until full operations resume and the work is handled on a first-in, first-out basis. This affects:
First-time Form W-7 applications
ITIN renewals
Exception category applications (1042-S, 8288-A, rental income, etc.)
Passport/identity document verification timelines
If you mailed your original passport (not recommended), this may also delay its return.
3. Status Updates
IRS phone lines are hectic, and as per our last call with the ITIN operation team as of 13th November 2025, we have been informed that the team is currently processing applications received as of August 2025
4. Delays in Processing Refund Claims
Many applicants apply for an ITIN solely to file a 1040NR tax return to claim a refund of excess U.S. tax withheld. If the ITIN is delayed, the refund cannot be issued. This particularly affects taxpayers claiming refunds from:
Form 1042-S
Form 8288-A
Form W-2 (nonresident wage withholding)
Royalty payments, rental income, gaming income, etc.
Refund timelines may extend by several months when the ITIN is still pending.
Can I still send my ITIN application now?
1. Yes, You Can Still Submit Your ITIN Application — Do Not Wait
Even if processing is paused, sending your ITIN application early ensures you’re already in the queue when operations resume.
2. Use a Certified Acceptance Agent (CAA)
A CAA-certified application avoids common rejection issues. Your identity is verified without mailing your passport, increasing accuracy and reducing delays once processing resumes.
3. Keep Copies of Every Document
This ensures you're prepared if the IRS requests additional information later.
4. Be Prepared for Processing Delays
If you're filing a return that requires an ITIN:
Be prepared for ITIN application and refund processing delays.
Upon receipt of ITIN, if any taxes are due, promptly pay the taxes via the IRS-approved website https://www.irs.gov/payments
If expecting a refund, you can check the refund status via the IRS website https://www.irs.gov/wheres-my-refund
Attach all required supporting documents to avoid further delay
Final Thoughts
Federal shutdowns create unavoidable delays in ITIN processing, document verification, and refund issuance. While the wait can be frustrating, the most effective approach is to submit a complete, accurate application and allow the IRS to resume operations. Working with a Certified Acceptance Agent ensures that, once processing resumes, your application moves forward without further complications.
Our team specialises in assisting individuals with ITIN applications, ensuring that all documentation is prepared correctly and submitted efficiently. If you need guidance or support with the application process, visit our website to learn more about our services. We’re here to help you navigate the complexities of U.S. tax compliance.
Please visit our website for FAQ related to ITIN and US Tax Assistance.
