At Czarnowski & Beer, we always have answers when you need them- it’s just a part of the Czarnowski & Beer KARES culture! Whether you are a client, prospective client or an avid reader of our blog, we are here for you! In case you were wondering, KARES is not misspelled, it is an acronym that outlines our firm’s philosophy. We use our Knowledge, Advisory and Resources to go the Extra mile and provide Services that go above and beyond.
Summer is ending and you know what that means- tax estimates and tax returns will be due very soon (9/16 for estimates & 10/15 for balance dues on tax returns). While e-filing has made filing tax payments and estimates easier, occasionally something can go wrong, which can then lead to penalties and interest.
In our experience, the typical reason a Co-op or Condo will miss a tax payment is if they switch their operating bank account in between the time when they submit the signed e-file authorization forms and the scheduled date for electronic withdrawal upon the returns being e-filed by their accountant. Accountants are supposed to confirm bank account information with the Co-op and Condo for this reason. However, if the account information is changed after the accountant has confirmed the account information present on the tax documentation, problems will likely occur (i.e. your return can be completed in July but the payments aren’t scheduled to be withdrawn until they are due on 9/15 & 10/15). Therefore, just as a reminder, if your building has switched operating bank accounts, immediately notify your accountant so that they will be able to advise you on your best next steps.
If the firm has not submitted the return or estimates for e-filing, then there is still time for the accountant to change the account number to the correct one. If the return and estimates have already been submitted for e-filing, there are two ways to rectify the situation: 1) notify your accountant and if the bank account is already closed, they will advise you on how to use alternative payment methods, including manual payment; or 2) notify your accountant and leave the bank account open with enough funds to be withdrawn on the scheduled payment date(s).
Whether you are a business, individual, or non-profit, we can outline specific steps you should take to minimize taxes, maximize loan eligibility, and enhance the value of your property.
For more information, contact us at firstname.lastname@example.org or (212) 397-2970.