EFTPS (?) Federal Withholding Tax Payment experience?


C

Carla Fong

Hi all - not exactly a QuickBooks issue, but accounting related.

We've done our Federal tax payments at our bank with the IRS-supplied
printed coupons since the dark ages.

I'm told the coupons are being obsoleted at the end of this year and
we'll have to do the wire/phone/internet transfers from now on.

OK, any advice on how to best manage it? I am hesitant to give the feds
all our account information lest they start randomly deducting to
balance the federal budget - or should I really be concerned about this?

Any advice?

Thanks in advance

Carla

"How can I ever thank you?" gushed a woman to Clarence Darrow, after he
had solved her legal troubles. "My dear woman," Darrow replied, "ever
since the Phoenicians invented money there has been only one answer to
that question."
 
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R

Ron Anderson

Carla Fong said:
Hi all - not exactly a QuickBooks issue, but accounting related.

We've done our Federal tax payments at our bank with the IRS-supplied
printed coupons since the dark ages.

I'm told the coupons are being obsoleted at the end of this year and we'll
have to do the wire/phone/internet transfers from now on.

OK, any advice on how to best manage it? I am hesitant to give the feds
all our account information lest they start randomly deducting to balance
the federal budget - or should I really be concerned about this?

Any advice?

Thanks in advance

Carla

"How can I ever thank you?" gushed a woman to Clarence Darrow, after he
had solved her legal troubles. "My dear woman," Darrow replied, "ever
since the Phoenicians invented money there has been only one answer to
that question."
I have been doing it for several years, very easy and they do not take
anything unauthorized. That said I do everything by the book so no reason
for them to come and snatch funds.
You can set up a special tax account separate from your main business
account just for it then they will have access only to what you want them
to have. Not that they can not come and take everything you have at anytime
anyway.
 
K

Karl

Hi all - not exactly a QuickBooks issue, but accounting related.

We've done our Federal tax payments at our bank with the IRS-supplied
printed coupons since the dark ages.

I'm told the coupons are being obsoleted at the end of this year and
we'll have to do the wire/phone/internet transfers from now on.

OK, any advice on how to best manage it? I am hesitant to give the feds
all our account information lest they start randomly deducting to
balance the federal budget - or should I really be concerned about this?

Any advice?

Thanks in advance

Carla

"How can I ever thank you?" gushed a woman to Clarence Darrow, after he
had solved her legal troubles. "My dear woman," Darrow replied, "ever
since the Phoenicians invented money there has been only one answer to
that question."
Been using EFTPS for years. No problems.
 
M

Matthew

Hi all - not exactly a QuickBooks issue, but accounting related.

We've done our Federal tax payments at our bank with the IRS-supplied
printed coupons since the dark ages.

I'm told the coupons are being obsoleted at the end of this year and
we'll have to do the wire/phone/internet transfers from now on.

OK, any advice on how to best manage it? I am hesitant to give the feds
all our account information lest they start randomly deducting to
balance the federal budget - or should I really be concerned about this?

Any advice?

Thanks in advance

Carla

"How can I ever thank you?" gushed a woman to Clarence Darrow, after he
had solved her legal troubles. "My dear woman," Darrow replied, "ever
since the Phoenicians invented money there has been only one answer to
that question."
Been using EFTPS for years. No problems.
You have to tell them what and when to pull everytime... as far as I can
tell, nothing is automated. And trust me, if the Feds want your account
information, they can pull it so I wouldn't worry about giving them your
account number... that is why they have those fleets of black helicopters
after all :)

Speaking of EFTPS (which I've also been using for years without problems) is
there any way to make QB process that payment (say with a plug in or
something) for you or is logging onto their website pretty much always going
to be another step in my weekly payroll process?
 
L

Laura

Matthew said:
You have to tell them what and when to pull everytime... as far as I can
tell, nothing is automated. And trust me, if the Feds want your account
information, they can pull it so I wouldn't worry about giving them your
account number... that is why they have those fleets of black helicopters
after all :)

Speaking of EFTPS (which I've also been using for years without problems) is
there any way to make QB process that payment (say with a plug in or
something) for you or is logging onto their website pretty much always going
to be another step in my weekly payroll process?
If you have QB payroll subscription that supports Federal tax forms then
you can set QB up to transmit the tax payments. You would use your
existing eftps ID/pin/password in the payroll setup. I personally don't
use it. I'd rather log into the tax websites (state & federal) so that I
know that the payments and forms were submitted properly.
 
L

Laura

Carla said:
Hi all - not exactly a QuickBooks issue, but accounting related.

We've done our Federal tax payments at our bank with the IRS-supplied
printed coupons since the dark ages.

I'm told the coupons are being obsoleted at the end of this year and
we'll have to do the wire/phone/internet transfers from now on.

OK, any advice on how to best manage it? I am hesitant to give the feds
all our account information lest they start randomly deducting to
balance the federal budget - or should I really be concerned about this?

Any advice?

Thanks in advance

Carla

"How can I ever thank you?" gushed a woman to Clarence Darrow, after he
had solved her legal troubles. "My dear woman," Darrow replied, "ever
since the Phoenicians invented money there has been only one answer to
that question."
Many banks have stopped processing the coupons in anticipation of the
IRS discontinuing the coupons. I have set up several clients with eftps
accounts and the process has worked perfectly.
 
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H

Harley

You seem very knowlegable in QB - esp. EFTPS as it applies to QB.

I'm presently using QB Pro 2008, and held on until the last dog was hung
before using EFTPS. Now I'm kind of up against it. I just did the 941 and
sent in the check and voucher for the Q4 liability payment. I know I'm not
supposed to do that, but it buys me some time to figure out how to show a
direct transfer payment next month with QB. If I don't get the liability
payment made QB won't do the 941 without showing the 2010 Q4 liability still
outstanding.

How do I get QB to show the liability payment as made with an electronic
transfer instead of a check? My wife works for a company using QB, and has
been printing a "check" on a blank sheet of paper, then going into the check
register and changing the check number to "EFT." I can think of a whole host
of potential malfunctions doing an end run around QB like that. Other than
having Intuit do the transfer and charging me for it, I can't find any menu
that allows me to configure the liability payment as EFTPS.
 
H

Harley

Tried it - it works! Thanks for the help.

Do you think there's any possibility that Intuit will put a choice in the
check issuing module to include "Fund Transfer" along with "To Print?"


"Golden California Girls" wrote in message

You seem very knowlegable in QB - esp. EFTPS as it applies to QB.

I'm presently using QB Pro 2008, and held on until the last dog was hung
before using EFTPS. Now I'm kind of up against it. I just did the 941 and
sent in the check and voucher for the Q4 liability payment. I know I'm not
supposed to do that, but it buys me some time to figure out how to show a
direct transfer payment next month with QB. If I don't get the liability
payment made QB won't do the 941 without showing the 2010 Q4 liability
still
outstanding.

How do I get QB to show the liability payment as made with an electronic
transfer instead of a check? My wife works for a company using QB, and has
been printing a "check" on a blank sheet of paper, then going into the
check
register and changing the check number to "EFT." I can think of a whole
host
of potential malfunctions doing an end run around QB like that. Other than
having Intuit do the transfer and charging me for it, I can't find any
menu
that allows me to configure the liability payment as EFTPS.
That is exactly how to do it. You don't need to print it either, just by
changing the number from To Print to EFT or EFTPS if you prefer, that is
that and QB is 100% happy.

It is no different for any electronic payment from you bank account. QB
just calls it a check, paper or electronic matters not to QB.
 
A

anon

Harley said:
Tried it - it works! Thanks for the help.

Do you think there's any possibility that Intuit will put a choice in the
check issuing module to include "Fund Transfer" along with "To Print?"
QB does have fund transfers, if you insist on using them instead of
checks to represent these transactions. For example, you could create a
current liability account for IRS, and transfer to that, then adjust the
balance with a journal entry. Doesn't really even matter what account,
since the net amount will be zero after you post the payment to the
correct account. But like the previous poster suggested, this issue is
largely cosmetic/personal preference.
 
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L

Laura

anon said:
QB does have fund transfers, if you insist on using them instead of
checks to represent these transactions. For example, you could create a
current liability account for IRS, and transfer to that, then adjust the
balance with a journal entry. Doesn't really even matter what account,
since the net amount will be zero after you post the payment to the
correct account. But like the previous poster suggested, this issue is
largely cosmetic/personal preference.
If you are dealing with Payroll then you need to use the Payroll module
to create the appropriate Liability Check. Using the bank transfer will
not clear those liabilities.
 

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