Thursday, September 10, 2015
IRS ESTIMATED TAXES BECOME MORE DIFFICULT - IRS NO LONG WILL ACCEPT $100MILLION CHECKS IN PAYMENT OF TAXES
So the IRS will stop accepting checks of more than $99,999,999 effective Jan. 1, 2016. After that date, you'll have to send in at least 2 checks to cover your big tax bill. This is really true!
Or, says the IRS, you can still send 1 large payment if you electronically wire it to the appropriate Federal Reserve bank.
In announcing the upcoming limit on big checks in the Sept. 7 Internal Revenue Bulletin, the IRS cited an earlier memo from the Treasury's Bureau of the Fiscal Service that noted the risks of manually processing checks of $100 million or more.
"Fraudulent activity, processing errors and uncollectible funds are more likely when checks over these amounts are accepted by TGA (Treasury General Account) depositaries," wrote David M. Metler, director, over-the-counter division of the Treasury Bureau of the Fiscal Service. "No check processing equipment can handle amounts over a million dollars."
Although the manual processing kicks in at $1 million, the IRS still will take checks up to $99,999,999 million, for now.