Bounced a quarterly estimated payment check

[sinje]

Hi,

I run an LLC, and I bounced my quarterly estimated payment that was due 6/15. The IRS is processing the check electronically and I got hit with an NSF fee from my bank on the 18th and then on the 20th. I am told they will do it one more time.

Anyone know when I can expect them to do it? They haven't tried so far that I can see, nor have I gotten anything in the mail from them about this.

The strange thing is, my accountant said I should get a letter within 10 days and he said they won't try to process it more than once. That ended up being incorrect and was how I got stuck with a second fee. The money is in there now, but I don't know if it's too late?

Thanks

[OtisMozzetti]

Publication 553 explains increased penalty for dishonored check

The IRS apparently really does not want to mess around with dishonored checks.

According to IRS Publication 553, Highlights of (This Year's) Tax Changes, the penalty you may owe to the IRS for a dishonored check has been increased. The penalty is now 2% of the amount of the check; but if the amount of the check is less than $1250, then the penalty is the lesser of $25 or the amount of check. That penalty is in addition to whatever fees that the bank may charge you.

Moreover, the estimated tax isn't considered paid until the IRS gets its money for the tax.

[sinje]

I'm actually fine with paying the penalty, I just want to get this behind me.

I just don't know if I should wait for them to process it electronically for the third time, or if I should send them a check now, or if I should just wait to get the letter in the mail.

I didn't realize it took this long, it's nearly a month since..

[Jesse]

Hi,

I run an LLC, and I bounced my quarterly estimated payment that was due 6/15. The IRS is processing the check electronically and I got hit with an NSF fee from my bank on the 18th and then on the 20th. I am told they will do it one more time.


Thanks

Ask the bank if it is the bank itself re-running the check? I agree with OtisMozzetti and don't think the IRS is going to mess around with the redeposit of the check.

[sinje]

Ask the bank if it is the bank itself re-running the check? I agree with OtisMozzetti and don't think the IRS is going to mess around with the redeposit of the check.

I only assumed that because of the last answer here http://answers.yahoo.com/question/in...2181001AAhxhOo

But I'll speak to my bank today to see, thanks. If it is my bank doing that, it's really sleazy...it's like they're trying to hit me with as many nsf fees as possible...

Do you have any input on whether I should immediately cut the IRS a new check, or should I wait to get something in the mail? Seems to be taking a long time...

[sinje]

Yeah, just spoke to them...the IRS presented the check again. He said there was no record of them trying a third time, but informed me there is no limit to the number of times they allow someone to present a bounced check.

Then he offered me a new business credit card, imagine that..