"Gil Faver" wrote:

- quote -

I see one in the mirror every day. I can't imagine why anyone who's ever
dealt with a cable company would give someone "that's what you owe" access
to funds.

- quote -

This is a different situation than just giving them access to debit your
monthly bill. You authorize a specific transaction on a specific date.
Luckily I've never had a problem (I do all my tax payments through EFTPS and
the state equivalent), but it should be quite straightforward to resolve
under routine banking laws if there's an error. There's definitely no
source of disagreement as to what the transaction should have been.

The truly obstinate or those who wear suspenders and a belt might be able to
fall back on title 31 provisions which, I believe, say creditors can't turn
down cash in hand, but that's a lawyer question, and I'm not one.

--
Phil Marti
Clarksburg, MD

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

Gil Faver wrote:
- quote -

This only applies to individuals with estimated payments of $20K or
more, if I read correctly, so only folks with incomes of around $1
million or more and no withholding would be affected. The rule already
applies to corporations.

The state will be making money from interest on the float and from
penalties (non-compliance is estimated to be very small). They will
lose a little from the reduced taxable income due to taking interest on
the float away from the taxpayer.

When it comes to taxes, the statutory imposition of interest and
penalties greatly reduces your "bargaining position", anyway. Once you
do get a refund due to their mistake, you should also get interest on it
too, right?

Whether or not subject to this mandatory payment method, I recommend the
same general approach I use for most of my electronic payments: set up
a separate account to limit how much can be taken out. Some credit card
issuers provide for the creation of virtual card numbers to use with
each merchant, with pre-set spending limits. You can still get free
checking at many banks, and then deposit just enough to cover the payment.

Finally, the FTB provides the following two FAQ's, which you may or may
not find comforting:

"# Can FTB debit my account without my knowledge or permission?

No. The ACH Debit method can only be initiated by using your taxpayer
identification number along with your unique security code that you
create. If you use the ACH Credit method, your payments are initiated by
you through your financial institution.

# What do I do if I transmitted the wrong payment amount or sent my
payment to the wrong state department?

Contact the e-Programs Customer Service Unit as soon as possible. [phone
number and mailing address provided]"


-Mark Bole

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

"Gil Faver" <rowdy'sboss[at]xxyz.com> wrote in
newsWKFk.254713$102.173143[at]bgtnsc05-news.ops.worldnet.att.net:

- quote -

into my account. I specifically instruct eiher Quicken or the payment
processor to make a payment of "X" dollars into the account of the payee I
have indicated. I have not often done this with tax payments because of
the high fees associated with it, but that is your choice ...


--
Best regards
Han
email address is invalid

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >

The state of California will require some taxpayers to make their estimated
tax payments electronically or be subject to a 1% penalty.

I know of people who have carefully avoided letting any vendor (such as
mortgage companies; credit card companies) dip into their bank accounts. If
an error is made, or there is a dispute, the other party will have the money
and it is up to you to get it back. Better for you to hang onto the money
in the event of a dispute, and maintain the cash and the bargaining
position. Now it seems the State of California is not giving them much of a
choice.

any comments?

--
<< ------------------------------------------------------- > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2007) - All rights reserved. > << ------------------------------------------------------- >