I e-filed for a client on 4/14 with significant amounts due to IRS and OH. Authorized both taxing agencies to directly take the funds from the client's checking account. As of 4/27 neither has taken the amounts. Client maintains that there is sufficient funds in the account to cover the amounts due. What are my obligations and what steps do I need to take at this point to avoid late payment penalties
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To the practiotner who posted that you call EFTPS to check the status of payment in process I am truly grateful. That is exactly what you need to do. I just called re a 4/1/26 tax extension payment made through Lacerte that has not cleared the bank yet. They can tell you the status. In my case, I was able to confirm that the payment is was working through the system as we speak.
This was the individual's post:
I have been experiencing the same issues with several extension payments. Since it's the 28th, I was a little nervous about whether these payments were ever going to be processed. Lacerte suggested I contact the EFTPS line 888-353-4537. The representative was able to confirm that the payments in question were processed in the last couple of days and should be coming out of the bank accounts in next couple of days. |
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The representative was able to confirm that the payments in question were processed in the last couple of days and should be coming out of the bank accounts in next couple of days.
And you believe that's not what they are instructed to tell everyone, to keep them from tying up the phone lines and creating work with questions that can't be answered?
Maybe.
I filed a number of extensions with balances due and had them set up for withdrawal through Lacerte. Usually the money is withdrawn on the 15th or the next day. My extension withdrawal along with a few of my clients finally occurred today, 4/28. Very unnerving for the clients.
I occasionally see references here to a generic transmittal or cover letter that the software provides. I can't find it, I use my own because I can run two programs at once and word processing gives me more options. But shouldn't clients be advised, when they have elected to pay online through practitioner software, that IRS has always advised that payments can be delayed up to ten business days? Or is this a trade secret that allows preparers to play "Wizard of Oz" and make it look like their phone call to IRS made a difference?
And maybe if enough taxpayers/voters knew that the Internet was slower than a mailed check, they would start asking their elected representatives why.
From a different list-serve (credit to James Counts):
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