Estimated Tax Payments

[mitchden1]

In April 2023, I mailed a check  payable to the United States Treasury for the first estimated tax payment for 2023. I enclosed the 2023 Form 1040-ES Payment Voucher 1 and have a copy of the envelope with the mailing address and my return address, the check with the required information in the memo area of the check and the Payment Voucher 1. At the same time, I mailed the 2023 NJ-1040-ES-V Payment Voucher with my check. I have copies of the check the envelope and the payment voucher. The envelopes were weighed by the USPS person working behind the counter and I paid him and he took the envelopes.

The checks were never cashed. I paid Vouchers 2, 3 and 4 online using my checking account number and they are listed in my account. My bank told me the missing checks can be cashed at any time so my checking account balances have to be high so those 2 checks, if ever "found", they don't bounce. The bank told me I can stop payment of the checks, however, they still can be cashed.

Is there anything I can or should do? I'm don't expect to be charged a penalty.

I paid the June and September payments online and they show the payment method as "direct pay". I paid my last payment at the end of December 2023 and increased the payment amount because the first payment was never received. The payment method for that last payment is "online account". All payments were debited from my checking account.

Why is the payment method for the last payment different from the first 2 payments? Is it because I increased the payment amount?    

Thank you.

[Mike9241]

tthe way the 2210 works the lesser of A) 22. 5% of your tax liability must be paid by 4/15/2024, 45% by 6/15/2024, 67.5% by 9/15/2024 and 90% by 1/15/2025 or if less B) 25% of your 2022 liability, then 50%, then 75% then 100% by th e same dates. the %s rise to 27.5% ,55% , 82.5% 110% if you 2022 adjusted gross income was over $150,000

so you may incur penalties for the first three quarters because of that lost in the mail payment

you may request a waiver of the penalties by checking box A or B on form 2210

a.If you checked box A, complete only page 1 of Form 2210 and attach it to your tax return (you aren't required to figure the amount of penalty to be waived).
b. If you checked box B, complete Form 2210 through line 18 without regard to the waiver. Enter the amount you want waived in parentheses on the dotted line next to line 19. Subtract this amount from the total penalty you figured without regard to the waiver, and enter the result on line 19 .
2. Attach Form 2210 and a statement to your return explaining the reasons you were unable to meet the estimated tax requirements and the time period for which you are requesting a waiver.

approval or denial of the waiver is entirely up to the IRS.

can't answer for NJ. 

I had a somewhat similar situation many years ago. Took the estimate payment in a stamped envelope to USPS. The clerk took it. About a month later I got the envelope back marked insufficient postage. The stamp was gone. Took it back to the USPS office. The clerk could see where the glue from the stamp remained and wrote a letter stating in effect it was the USPSs fault that the envelope was not properly delivered to the IRS. Mailed the 2210, my cover letter explaining what happened and the letter from the USPS. The IRS waived the penalty. 

[mitchden1]

What is the "2210"? The total amount of taxes, both withholding and estimated taxes paid (not including the lost checks) is significantly more than my 2022 tax liability. In 2022, I didn't have to pay estimated taxes. I thought there wouldn't be any penalty because I've paid/withheld more taxes than I paid in 2022. Is that correct?

[ThomasM125]

Form 2210 is used to determine if you have a penalty for late payment of tax and also a means by which you may be able to lower the penalty by reporting your income by quarter, so as to result in a more accurate penalty calculation.

If you pay in more tax than you owed in the prior year that may allow you to avoid a penalty for late payment of tax, but only if you pay the taxes in a timely fashion. Since you missed the first payment, there will likely be a penalty due as that payment was late.