joelgilb Posted April 17, 2013 Report Share Posted April 17, 2013 ATX post "Re: Broken Trust Reply Quote Favorites I received the following email from Drake early this morning. Note that Drake, too, was having issues last evening. However, note also the entire tone of the email, the lack of pointing the blame elsewhere, the sincere apology, and the proactive willingness to deal with the problem. This is in contrast to ATX which has been in damage control mode all of tax season, pointing the blame elsewhere.:In response to this quote from Phil Drake:" Transmission Issue On April 15, 2013, around 5 PM EST, we started experiencing intermittent connectivity issues on our e-file servers due to higher-than-expected volume which caused problems with your ability to transmit returns and extensions to Drake. The issue was mostly resolved by 11 PM EST, although high volume continued to cause intermittent success with transmissions. While the IRS was also experiencing some delays, this specific issue was on our side. We have been communicating with the IRS, and have requested that it allow returns and extensions e-filed or paper filed by Drake preparers on April 16, 2013 to be considered timely filed. We advise that you file any extensions and returns (that you were unable to file on the evening of April 15) on April 16. If you choose to paper file, include a printout of this email with the return or extension. If you choose to e-file, there is no action to take other than to transmit the file on April 16 (the earlier the better). The electronic record will indicate Drake Software as the software provider. We believe that the returns and extensions you file on April 16 will be considered timely filed; however, please contact us if any of your affected returns that are filed by April 16 are assessed a late-filing penalty. We sincerely apologize for the inconvenience. We will be analyzing the cause of this issue thoroughly and meticulously. It is our utmost priority to ensure the stability of our systems. Sincerely, Phil Drake " Kimmie Manuel said:"Actually no software vendor has negotiated an extra day with the IRS regardless of what they distributed to their customers. We are confident that the returns will be considered timely filed. The IRS themselves would never endorse additional time or publically state that they allowed a vendor to have additional time. Kim Manuel VP - Customer Relations "Funny why don't I believe her? Quote Link to comment Share on other sites More sharing options...
ari Posted April 18, 2013 Report Share Posted April 18, 2013 Drake's forthrightness is fascinating and to be admired. From a legal standpoint, are they not putting it in writing, hey we messed up, and if you get penalties b/c of our deficiency, contact us; which to me implies that maybe they;'ve put themself on the line for exposure (or their insurance company) What if someone owed 1 million dollars and the extension didn't go thru on 4/15 b/c of Drake, now someone might have to pay 50k penalty. Did they not just put in writing that Drake is liable for this. However, Phil Drake said "We have been communicating with the IRS and have requested" He didn't say he got word from the IRS that would be granted an extra day. Maybe he was informed unofficially by the IRS that Drake would be granted an extra day. Didn't turbotax or Proseries have this situation a few years ago? How was that resolved? I just find Drake a good honest company. Quote Link to comment Share on other sites More sharing options...
joelgilb Posted April 18, 2013 Author Report Share Posted April 18, 2013 Drake's forthrightness is fascinating and to be admired. From a legal standpoint, are they not putting it in writing, hey we messed up, and if you get penalties b/c of our deficiency, contact us; which to me implies that maybe they;'ve put themself on the line for exposure (or their insurance company) What if someone owed 1 million dollars and the extension didn't go thru on 4/15 b/c of Drake, now someone might have to pay 50k penalty. Did they not just put in writing that Drake is liable for this. However, Phil Drake said "We have been communicating with the IRS and have requested" He didn't say he got word from the IRS that would be granted an extra day. Maybe he was informed unofficially by the IRS that Drake would be granted an extra day. Didn't turbotax or Proseries have this situation a few years ago? How was that resolved? I just find Drake a good honest company. IRS gave them a few extra days!. Just like they did for Drake! Quote Link to comment Share on other sites More sharing options...
Guest Taxed Posted April 18, 2013 Report Share Posted April 18, 2013 Last year I filed 2 returns with balance due both federal and state `1 days after the deadline because the taxpayer did not want to file an extension and they told me they were doing it themselves until they found out it was beyond their pay grade! These people had no good reason to delay except that they wanted to try it and gave up. None of them got any late filing or interest and penalties. I think IRS internally allows some slack if the return is filed accurately withing a few days from deadline. Besides the interest would have been negligible and the hassle to bill and collect is not worth it. I seriously doubt if a April 15 submission submitted on April 16th due to this glitch will attract any interest and penalties. May be IRS will issue Drake a warning! 1 Quote Link to comment Share on other sites More sharing options...
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