Estimated tax dilemma

[JJStephens]

For the past ten years client filed joint returns with her husband. They had a lucrative joint biz that required estimated tax payments. Unbeknownst to me, they split up in January 2018 and she got the biz.

She used the 1040-ES coupons I prepared last year to make a couple estimated tax payments (for amounts different than I originally prepared). After we filed her MFS 2018 return the IRS sent her a notice stating they did not have any record of the estimated payments she made. Because her ex's SSN was listed first on those coupons, the IRS credited the payments to his account (that completely slipped by me when I was prepping her return).

Two questions:

• Is there a way to petition the IRS to credit those payments to her instead of to him or are we stuck with going to the ex to ask for a refund of the amount erroneously credited to him?
• What should I have done differently on the original return?

 

[Abby Normal]

There's a worksheet for telling the IRS how to divide estimated taxes. Ln 66s, Sch 5 Est Tax Div Stmt.

I've never had to use it.

[gfizer]

2 hours ago, JJStephens said:

For the past ten years client filed joint returns with her husband. They had a lucrative joint biz that required estimated tax payments. Unbeknownst to me, they split up in January 2018 and she got the biz.

She used the 1040-ES coupons I prepared last year to make a couple estimated tax payments (for amounts different than I originally prepared). After we filed her MFS 2018 return the IRS sent her a notice stating they did not have any record of the estimated payments she made. Because her ex's SSN was listed first on those coupons, the IRS credited the payments to his account (that completely slipped by me when I was prepping her return).

Two questions:

• Is there a way to petition the IRS to credit those payments to her instead of to him or are we stuck with going to the ex to ask for a refund of the amount erroneously credited to him?
• What should I have done differently on the original return?

 

I had the exact same situation a couple of years ago.  The wife had used the pre-printed vouchers with the husband's social as primary but she had written the checks from her own account and listed her social security number on the checks.   I wrote a letter explaining the situation and attached copies of the cancelled checks and payment records for the installments showing that they were paid from the wife's personal account.  It took them a couple of months but she finally received a letter from the IRS saying they had applied the payments to her return and she received a refund.  

[JJStephens]

Thanks to both for your very helpful feedback. Now I have an idea what to do this time ... and next time!