Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

penalty and interest

Highlighted
Level 1

I have computed the late payment penalty and interest for a return.  The balance due on the 1040-V includes these amounts; however, when I set up direct draft of balance due the amount shown does not include penalty and interest.  How do I correct this?

 

Labels (1)
0 Cheers
5 Replies 5
Highlighted
Level 15
Level 15

Its possible it wont pick it up if you've computed it manually (since it will only allow up to the amount shown on Line 23 of the 1040), I always let IRS send a bill for their penalty/interest computation....you could make payment via IRS Direct Pay instead.


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
Highlighted
Level 1

I have the same problem when it comes to the penalty and interest not being deducted when paying electronically as compared to filing in a voucher . How can this work in my 2018  software and not in 2019 return. I have been on hold for  2 hours . Thank god I am retiring soon

0 Cheers
Highlighted
Level 15
Level 15
You could have made payment at IRS DirectPay and been done with it.

♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
0 Cheers
Highlighted
Level 2

I had the same issue and see i am not alone.  I looked at prior year 2018  balance due withdrawal included the late filing and late payment penalty.  This year it does not so clearly there is a software glitch.  Not sure how to go about notifying the party responsible to correct software.

0 Cheers
Highlighted
Level 1

Same problem here – contacted technical support 7/23 when I was ready to file my first post 7/15 return that owed – they kept telling me that my client had -0- on the underpayment of estimates penalty line so there was no penalty …. That had/has nothing to do with late payment/interest on the balance due return and yes they owed more that 10% of the liability to the penalty does apply. Did the screen share and tech support was still going down her list of irrelevant items regarding estimated taxes... On 7/29 there is still no solution or work around except to pay the tax with the software and mail in the extra penalty/interest or pay directly on the IRS site…. I pay good money not to have to waste my time or my clients time doing these things – this is not something that only impacts one person it impacts anyone who files a 1040 after 7/15/20 owes, has interest and or penalty and wants to pay directly through the software. THROUGHLY DISSAPOINTED WITH INTUIT!!!! There was once a time when you called technical support and you could talk with someone that actually was familiar with the tax return software and the process - obviously not the case now....

0 Cheers