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Returning Member
posted Apr 19, 2023 1:46:37 PM

Electronic tax withdrawal rejected by my bank due to insufficient balance. How to restart the payment process with IRS now?

I made a mistake of providing checking account#  instead of savings account# in the electronic payment steps. IRS and state try to withdraw and bank rejected it saying insufficient fund.  Now I made additional transfer to my checking account, is there a way to restart this withdrawal again?  Also will there be any penalty by IRS or State since the original payment not successful ? 

 

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8 Replies
Level 15
Apr 19, 2023 1:49:45 PM

Go to this IRS payment website and use Direct Pay for the federal taxes owed on the 2022 tax return - https://www.irs.gov/payments

 

There may be a small penalty from the IRS and if there is they will send you a bill in the mail after the taxes are paid.

Returning Member
Apr 19, 2023 1:51:36 PM

Thanks. What about state? 

Level 15
Apr 19, 2023 2:27:51 PM


@VSN7 wrote:

Thanks. What about state? 


Which state?

Returning Member
Apr 19, 2023 2:28:19 PM

California. 

Level 15
Apr 19, 2023 2:36:59 PM

If you live in one of the counties in California affected by the winter storms then your CA taxes owed can be paid at any time on or before October 16, 2023 without penalty.

 

IRS website for information - https://www.irs.gov/newsroom/irs-provides-tax-relief-for-victims-of-severe-winter-storms-flooding-landslides-and-mudslides-in-california

 

To pay CA taxes owed online - https://www.ftb.ca.gov/pay/payment-options.html

Returning Member
Apr 19, 2023 7:25:57 PM

Thanks. It turns out that fed and state retried for payment and it went thru this time. 

New Member
Oct 1, 2024 7:32:55 PM

Hi,

May I know how you fix this problem?

Level 15
Oct 1, 2024 9:11:18 PM


@mary0807 wrote:

Hi,

May I know how you fix this problem?


The answers are all in the thread above.  

 

If your tax payment failed, the IRS will send a bill that will include interest and maybe a penalty.  You can also pay your tax bill any time you choose at www.irs.gov/payments.  Paying sooner will reduce the penalties and interest, but you may still get a bill for penalties and interest.