IRS makes no sense

[Last]

in 2011 I owed taxes, with my business it takes a while for me to get all of the tax stuff in line, so I always do an extension and I ended up filing close to October 2012. I got a certified letter in January saying I owe $1,700~ in taxes and penalties. So I send them a check. I got another certified letter TODAY (2-1-2013) saying I now owe a little more taxes and interest. I called to verify they received my payment (Thinking that basically my letter was not processed yet). After 45+ minutes on the phone I have determined the IRS makes no sense.

It takes 3 weeks to process a check, they give you a 4 day notice to pay (The notice I received today is due the 4th) The entire time they have my check I am still gaining interest, so I will have to pay them again after they have already received my check. But if I do not do it electronically, I will basically have to send a check every month for the rest of my life because the amount of time it takes them to process a check takes almost a month.

 

[thomas91169]

And in the meantime 52% of your fellow americans are voting in more government programs that will be far worse.

 

[lobra97]

sounds like the attny general as well....sorry mofos

 

[SNCBOOM]

Seems about par to me.

 

[usmcsvtwannabe]

IRS........giant retarded **** up

 

[Torch10th]

Yeah, that's about right.

So by 45 minutes on the phone, you mean that you're still on hold then?

 

[ctubbs]

I always sent them an extra $100 on my last payment so it would cover interest durning processing. Eventually, they will send you a check for the difference.

 

[pickup_man06]

wow. that is stupid. good luck dealing with them, sounds frustrating

 

[pickup_man06]

I always sent them an extra $100 on my last payment so it would cover interest durning processing. Eventually, they will send you a check for the difference.

not a bad idea! sounds like youve done this before!

 

[WireEater]

They might not make a lot of sense but they DO make a lot of cents.

 

[65fastback2+2]

my favorite is i did all my taxes and went to file on wednesday...turbotax said, paraphrasing, "since congress drug its feet last year and theres a million tax laws, the IRS wont be caught up and you cant file till march...in the meantime, we haz your monies hostage BWAHAHAHAHA"

 

[horspla2000]

OP it took you all that to figure out the IRS sucks?!? I coulda told you that before you picked up the phone!

 

[65fastback2+2]

doesnt IRS stand for "I REALLY SUCK" ??? it pretty much tells you it sucks

 

[Last]

OP it took you all that to figure out the IRS sucks?!? I coulda told you that before you picked up the phone!

Well I knew they sucked, but this takes it to a new level. I am halfway thinking about cutting a second check and seeing if they refund the $1600 surplus (I know they won't)

But it made complete sense to the lady on the other end of the phone.

There is a way to pay online, but you don't pay the IRS directly. You have a choice of 5 different private providers (that charge a $4.00 or 2.5% fee depending which is higher). But the problem there is, those websites do not tell you how much you owe, so you will more than likely pay the incorrect amount.

I feel like if I was broke and on welfare I would be treated better, than I am having paid them all year, and then owing more than I thought.

 

[slow2002gt]

in 2011 I owed taxes, with my business it takes a while for me to get all of the tax stuff in line, so I always do an extension and I ended up filing close to October 2012. I got a certified letter in January saying I owe $1,700~ in taxes and penalties. So I send them a check. I got another certified letter TODAY (2-1-2013) saying I now owe a little more taxes and interest. I called to verify they received my payment (Thinking that basically my letter was not processed yet). After 45+ minutes on the phone I have determined the IRS makes no sense.

It takes 3 weeks to process a check, they give you a 4 day notice to pay (The notice I received today is due the 4th) The entire time they have my check I am still gaining interest, so I will have to pay them again after they have already received my check. But if I do not do it electronically, I will basically have to send a check every month for the rest of my life because the amount of time it takes them to process a check takes almost a month.

I had something similar happen to me I filed for 2011 and I get a letter from the IRS saying I owe 3,500 in taxes im like WTF? I try to get on the phone with the IRS but after a hour of frustration because they merely state you owe taxes but cannot tell me why I figure it out.
It ended up being my exwife has a trustfund and somehow since I divorced in 2011 ended up having to pay for her taxes seems they only just caught it. I dont know why they didnt say anything prior.
Now this year I am in the process of filing and hoping I dont get another bill saying OH you owe more money for your exwife..

 

[Deceptive]

Why not just stop paying taxes, wait for them to come after you, then goto a Tax Resolution Center and pay a fraction of what you owe. Work the system.

 

[ssssnake]

There is a way to pay online, but you don't pay the IRS directly. You have a choice of 5 different private providers (that charge a $4.00 or 2.5% fee depending which is higher). But the problem there is, those websites do not tell you how much you owe, so you will more than likely pay the incorrect amount.

Is that through the EFTP system? https://www.officialpayments.com/fed/index.jsp?utm_source=Bing&utm_medium=PPC&utm_campaign=Daily+IRS

Yes, they have a convenience fee, but so do every other businesses that let you pay online. If you don't want to pay that way, take your payment down to the post office, mail it certfied, return receipt requested (still a fee though), get your receipt date stamped, and that's proof of the day you sent it. Penalties and interest stop from that day. You may have to send the IRS a copy of that proof in order to explain it, but that's how we recommend any one send a return or payment that's due by a particular day if the taxpayer doesn't file electronically and have their payment debited. Nowadays, there is no escaping fees of some sort. Sorry.

If it's your personal return, you can put your checking account info on your return, and they will debt your account for the amount when they receive your return. No fees. If you look on the instructions for your particular form (1040, 940, etc.), it will show you how to calculate your penalties and interest, or your accountant can calculate it for you.

 

[Jack Burton]

in 2011 I owed taxes, with my business it takes a while for me to get all of the tax stuff in line, so I always do an extension and I ended up filing close to October 2012. I got a certified letter in January saying I owe $1,700~ in taxes and penalties. So I send them a check. I got another certified letter TODAY (2-1-2013) saying I now owe a little more taxes and interest. I called to verify they received my payment (Thinking that basically my letter was not processed yet). After 45+ minutes on the phone I have determined the IRS makes no sense.

It takes 3 weeks to process a check, they give you a 4 day notice to pay (The notice I received today is due the 4th) The entire time they have my check I am still gaining interest, so I will have to pay them again after they have already received my check. But if I do not do it electronically, I will basically have to send a check every month for the rest of my life because the amount of time it takes them to process a check takes almost a month.

Too much missing info to make any judgement. Don't know if your business is a Schedule C on your 1040 of if you have a partnership (form 1065) which passes through to your 1040. That, and don't know what the letter said as to why you owe. What was it related to? Did you omit 1099 income (1099-INT, 1099-DIV, stock sale)? Did they adjust other items that you claimed? Was your payment postmarked timely with the reply form they provided? Besides that, I'd never just pay the IRS without researching the matter at hand(then again I do this for a living). 90% of the time I come out on top for my clients, unless of course the source of the problem is something that is blatantly their fault (that's the other 10%).

 

[99 GT vert]

Why not just stop paying taxes, wait for them to come after you, then goto a Tax Resolution Center and pay a fraction of what you owe. Work the system.

Because that only works if you are broke. If a person or business is making a good income/profit the irs will not.settle for less they will want all the money plus interest. If you rightfully.owe money why not pay it I hate taxes.as.much as the next person but pay for what you need to pay for.

 

[F8LBITEva]

It's all a bunch of bullshit