Discussion:Bank Of America notice to customers RE: Federal Tax Deposit Coupon
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Discussion Forum Index --> General Chat --> Bank Of America notice to customers RE: Federal Tax Deposit Coupon
| 14 October 2009 | |
| Did anyone see the letter that Bank Of America gave to customers? I did. They will no longer be accepting Federal Tax Deopsit Coupon's (Form 8109) as of September 30, 2009. The bank teller stated that the bank is doing a pilot program for the IRS, because the IRS will no longer be accepting Federal Tax Deposit Coupons from banks as of January 01, 2010.
Any truth to this? | |
Actionbsns (talk|edits) said: | 14 October 2009 |
| I haven't heard of this pilot program. And I don't see how IRS can make such a broad decision so rapidly as to discontinue use of the 8109, there are still a ton of people who are not computer savy enough to use EFTPS nor do they have the ability to use it (no computer). Bank of America is not currently on my A-list of banks. My recent experience with them has been really negative and includes employees of the bank being caught in outright lies to myself, a friend's daughter and a client. My overall experience over the years is that B of A employees will quote bank policy as law which always makes me angry, shows how incredibly arrogant the bank has become, and the employee can never actually site the law they are quoting. AP Giannini would be apalled at what his bank has become. I could go on and on but it would bore everyone to death and then I would have to give equal time and start on Well's Fargo Bank, the least consumer oriented bank I can think of. | |
Mikex2e7n5 (talk|edits) said: | 14 October 2009 |
| According to the brochure, taxpayers can make the payments by phone.
https://download.eftps.com/966_brochure.pdf Maybe it's an opportunity... charge the clients $25.00 to set them up over the internet so they can do EFTPS by phone. | |
Actionbsns (talk|edits) said: | 14 October 2009 |
| You're right Mike, they can use the phone. But three month lead time when discontinuing a major program is unrealistic. Can you imagine how backlogged the system would become trying to sign up all those taxpayers by January 1 to begin using EFTPS. As it is, it takes a couple of months before everything is in place. And God help the person who entered the wrong routing code or screwed up their bank account information. | |
Mikex2e7n5 (talk|edits) said: | 14 October 2009 |
| This is just a guess, but like most programs the feds have been pushing the last few years, I wouldn't be surprised if they extended the deadline. Again, just a guess. | |
| October 15, 2009 | |
| Well, I certainly hope there is no pilot program or plans to disallow the coupons. The nice thing about them is that payment can be made on on time on the due date. It's not possible to use EFTPS on the due date and be considered on time. | |
Actionbsns (talk|edits) said: | 15 October 2009 |
| That's true Natalie, you now need to give EFTPS two days lee way. But you can call in early and schedule the payment on the due date. I find that to be a really good thing. | |
| 15 October 2009 | |
| Actually, I think this has been going on for a while. A few banks out here have stopped taking the 8109's. | |
| 15 October 2009 | |
| Yes, but it's not just the TARP money. They also get interest free loans from the Fed. I think that even the investment banks can get this money. I know for a fact that they extended this to investment banks at one time.
This may give some clue as to why mega-bank earnings look so good. We could look good too with the use of free money to trade with. Dow 10,000..... Just wait until the Fed. starts tightening, if they ever can. | |
Actionbsns (talk|edits) said: | 16 October 2009 |
| But Fred, I think that's part of my point. You say a few banks have stopped taking the 8109, but isn't that an election to no longer be a federal depository for tax deposits? Did the IRS make the decision for the bank? | |
| 16 October 2009 | |
| I think it is because they cannot be trusted with taxpayer money, myself. | |
| 18 October 2009 | |
| I have a local business client with under $ 2,500 per quarter liability that was advised by Key Bank, N.A. (headquartered in Ohio) nearly two years ago when it bought out a local bank it was not going to accept 8109s any longer and was forced to use EFTPS | |
Actionbsns (talk|edits) said: | 18 October 2009 |
| But again, that's bank policy, not law. When I think about, it seems to me that as far back as somewhere around 1989, Security Pacific bank in California decided not to accept 8109's. There was some issue about it with one of my clients, it created a real fuss, and it was before EFTPS was around or well accepted, it's a fuzzy memory and the bank's not around anymore anyway. I think someone at that bank tried to tell my client that the IRS was going to discontinue the 8109. Maybe they had a crystal ball and too bad they didn't look a little further, they might still be around. | |
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