Delay in Tax due withdrawals (only of Fed)

Technical topics regarding tax preparation.
#1
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I tried the little yellow search box in case I missed a thread...no luck.

Are you all experiencing a delay in Federal tax due withdrawals well past the date you provide when you eFile? I've had one heck of a year with a data corruption and Proseries crashing that I can't tell if this is just me. Or is it just the IRS slowly taking their time to catch up from all the stimulus work.

The good thing is the clients are seeing state come out. But at what point do you advise them to go online and pay IF it doesn't come out?
 

#2
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No help to answer your questions, but this is exactly the reason why I don't offer this service to my clients. Any number of reasons that a payment could be late or missed and I do not want to be involved in that process at all.
 

#3
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My direct debit for my extension cleared today. I just scheduled it yesterday.
 

#4
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I spoke with Proseries today and they looked up that the two returns we sampled were received by IRS. I guess this is where we are lucky to have a few more weeks of cushion in case I need to tell taxpayers to pay online, assuming IRS won't draft.
 

#5
Lalva  
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I have read in Facebook tax groups that this is happening. IRS not withdrawing the money on the date scheduled.
One client told me today she sees that the FTB of CA withdrew the estimated tax payment, but not the IRS.
 

#6
JR1  
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I've got at least one client where the 1st ES didn't pull....
Go Blackhawks! Go Pack Go!
Remembering our son, Ben Jan 22, 1992 to Aug 26, 2011.
For FB'ers: https://www.facebook.com/groups/BenRoberts/
 

#7
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Yes, I have two clients who did not have the Q1 EST payments withdrawn on 4/15 as we had scheduled.
 

#8
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Thanks you both! I am just waiting to see if they go through and will advise clients on 5/4 to take alternative actions if they do see withdrawal for 2020 taxes due by then.
 

#9
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Several of my clients have had this happen as well. State withdrawal was successful, but not federal.
 

#10
Joanmcq  
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My own withdrawal hasn’t gone out. Scheduled it for 4/15.
 

#11
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I have several clients whose extension payments have not gone through yet. Regretting doing a direct debit now. Getting 2848 signed so I can follow up with the IRS. This seems to be a common problem from the boards I read. From having a paper filed amended return take 12 months to process to direct debit issues, the IRS is just broken!
 

#12
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Drake support says: "We have sent an inquiry to the IRS. We are still awaiting an answer from them. Once we do, we will send a broadcast email or alert."
 

#13
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So glad I don't do this for clients! That is one headache I don't want to deal with!
 

#14
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According to Spidell, The IRS has stated that they are behind in withdrawing funds for first quarter estimated tax and extension payments made through auto withdrawals on or around April 15. According to the IRS, this is not a tax software issue. The problem is not just estimated taxes but all auto withdrawals made on or around April 15.

According to the IRS, there will not be any penalties for these late withdrawals, and no action is required by the taxpayers. The IRS is expected to release a Quick Alert on this topic soon.

https://www.magnetmail.net/actions/emai ... HY8R2uwaUU
 

#15
BTJig  
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My firm just sent this out today, I beleive it came from Wolters Kluwer a/k/a ProSystem:

Body: IRS NOTICE:
Delay in Processing Form(s) 1040, 1040-X, and 1040-ES Payments Submitted via Modernized e-File

We identified a delay in processing Form 1040 balance due, Form 1040-X amended, and Form 1040-ES estimated tax payment requests submitted via Modernized e-File. The issue has been resolved, and pending payments are being processed. The taxpayer's account will be credited with the original requested payment date(s). Taxpayers should not re-submit these payments.

If a taxpayer re-submitted any of these payment requests due to the delay in processing they may cancel them by calling 1-888-353-4537. Cancellation requests must be received no later than 11:59 p.m. Eastern time, at least two business days prior to the scheduled payment date.

We apologize for any inconvenience this may have caused.
 

#16
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#17
JR1  
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So Intuit is claiming that it's them and that we should contact IRS, cancel the 2nd Qtr estimate since it'll double up and then re-pay the 1st that didn't draw. ...but this isn't a ProSeries issue. sounds like others have the same thing. I'm reluctant to try calling and messing with it, and undoubtedly incurring a late penalty next year to deal with....IF IRS is going to fix it themselves . What to do?
Go Blackhawks! Go Pack Go!
Remembering our son, Ben Jan 22, 1992 to Aug 26, 2011.
For FB'ers: https://www.facebook.com/groups/BenRoberts/
 


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