Hi everyone, I have a client that filed her taxes by paper which its has not been processed yet by the IRS. She is getting a refund and request to be via direct deposit, but she was notified by her bank that her account has fraud activities therefore she had to close and open a new bank account. How should we proceed in providing this new information to the IRS? is there a form or should we just contact them?
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As long as client has the new account with the same bank the refund from IRS will go to the same bank. Once she knows the date the refund was deposited (as per IRS website, where is my refund), she can go to the bank and they can easily locate the funds as they are sitting in the bank internally as unaccounted deposit. Though it will be little hassle but that is the only way. However, if the client had changed the banks then it is a bigger problem. Same happened to my client this February. -
Client can ask bank to reopen account -- with no money in it -- and wait for IRS deposit. Then move refund to her new account and re-close old account. Would be best if she checks Where's My Refund daily until she gets the DD date, so she can reopen old account for the least amount of time.Comment
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Tell her to e-file. Tell her to call you before doing anything financial. Tell her time travel to fix things she did in the past costs extra.Comment
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I didn't say anything about Form 8948. What was your question?Comment
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Most banks will lock out an account that is suspect or has had fraudulent activity and it is not your call to reopen that same account. They will assign a new account # and some banks will link the new account # for direct deposit ONLY such as payroll etc. Please check with bank.
Otherwise the best solution is to let the bank reject the deposit and then IRS will mail a paper check. I believe the banks notify IRS of the reason for the reject.Taxes after all are the dues that we pay for the privileges of membership in an organized society. - FDRComment
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Your quote of mine said nothing about Form 8948...Originally posted by FEDUKE404
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Client decided to paper file due to having the same issues in the past regarding fraudulent activities with her bank account.Comment
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I guess I need to dummy this down to YOU. You quoted me in your second post:
"Originally posted by Lion
Tell her to e-file. Tell her to call you before doing anything financial. Tell her time travel to fix things she did in the past costs extra." And, concluded your quote of me with "I'm still waiting for an answer re the Form 8948."
I think you'd get a quicker answer re the Form 8948 if you quoted someone who talked about Form 8948. I was one of the responders brainstorming about a changed bank account -- the subject of the OP.Comment
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What am I missing here? Did the IRS reject the e-file and then you had to paper file? Or did the taxpayer decided on its own without a e-file reject to paper file? Bank fraudulent activity does not stop e-filing. They can request paper check for the refund?Originally posted by martinezpc View PostTaxes after all are the dues that we pay for the privileges of membership in an organized society. - FDRComment
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If the paper return has not been processed, why couldn't you efile now and use the new bank acct number?? Where's My Refund will tell you if it has been received and is in process..... When they eventually get around to doing the paper return, she will get a letter saying the return has been previously filed.Comment
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Ten reply posts and one reply post from Original Poster.
Think maybe Original Poster has more than enough information and it is time to let this be archived?Always cite your source for support to defend your opinionComment
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