The IRS form 1040-V is a statement representing your tax liability sent along with tax forms such as 1040, 1040A, and 1040EZ. Processing your payment by method of using the 1040V allows the IRS to handle and process the documentation of your payment using the most accurate and efficient means available. Though no penalties are assessed if your payment does not arrive accompanied by a 1040V, the IRS strongly recommends the use of the document to ensure timely credit is given to your account.
Filling out and Preparing Your 1040-V
The IRS has a tendency to reject any documentation that contains errors, in order to avoid entering an error into their system. Therefore, it’s very important that you take the time to ensure the form has been filled out properly, informing the IRS of:
- Your Social Security number, with both the first and second social security numbers shown on your return (in cases of joint filings only).
- The stated amount you are paying for your tax liability (personal check or money order are the only two methods of payment accepted by the IRS).
- The full names of each person on your return, along with your address, the exact same way it is displayed on your tax return (printing this information as clearly as possible will allow the IRS to process your statement more efficiently).
To prepare your payment in a manner the IRS can best process, it’s important to follow these guidelines as well:
- Your payment check should be made out to the United States Treasury, not to the Internal Revenue Service, with a legible name and address (remember not to send cash).
- Your payment should also have written on it the name of your tax form, SSN (both if filing jointly), and your phone number.
- The amount of your payment should be written in standard format, with decimal point and indicated change amount, even if the amount is 0 ($000.00).
Get Legal Advice
As with any IRS documentation, accuracy and thoroughness are the most important factors when filing any information. This will help ensure your information is entered into the system efficiently and without error. If errors or discrepancies between your 1040V and your income tax return occur, you will be contacted via mail or by phone in order to resolve the issue. You should consider working with an experienced tax attorney to assist you in either preparing your 1040-V or in dealing with any problems that arise when you send in your form.
