Overpayment/Refund

[The Real Halloween]

Amount you owe line 37 form 1040 indicated $6,100 but taxpayer inadvertently paid the IRS via IRS Direct Pay in the amount of $6,700.
Would the IRS automatically send a refund check in the amount of $600 or should TP contact the IRS for the refund?
Your comment and advise are appreciated. Thanks for your time.

[BobKamman]

My prediction is that IRS will eventually refund the $600 without further action required -- but they will subtract any ES penalty, and other penalties and interest if this payment was made after the due date.  And you have to hope that the taxpayer doesn't owe other taxes for other years.  

It won't happen until the return is processed, so if there is a delay because of issues like RRC or identity theft, don't expect the check for a few months.  Or maybe many months.  Keep IRS advised of any address changes.  

[The Real Halloween]

Would the IRS still send a check refund if the overpayment was not listed on line 35a of form 1040? Would the overpayment be listed on the where’s my refund so that TP can track the status of the refund?

I never had this type of overpayment so would appreciate to get some comments. Thanks again for your time.

[BobKamman · Accepted solution]

Similar situations happen all the time, when taxpayer forgets about an estimated tax payment or misremembers the amount.  Look at any IRS account transcript.  When payments exceed assessments and there is no "freeze," a refund is issued.  I don't know of any freeze this would generate, but if it does, it should also generate a notice to the taxpayer asking what the heck they meant.  

[The Real Halloween]

@BobKamman many thanks for your time and comments!