Procedures for payment -- ACH credit payment method

11.1. Taxpayers who elect to use the ACH Credit payment method of making EFT payments shall use the procedures in this section to communicate payment information to the Department. The Department intends to examine each taxpayer’s compliance with the requirements of this rule.

11.2. If a taxpayer has elected the ACH Credit payment method but repeatedly fails to correctly complete the payment transactions in accordance with this rule, the Department may in its discretion require the taxpayer to make future payments by the ACH Debit payment method.

11.3. To assure the timely receipt of payment, a taxpayer shall ensure that the financial institution originating the transaction does so in sufficient time for the payment to be deposited as immediately available funds to the State Treasury on or before the appropriate due date of the payment.

11.4. All ACH Credit transactions shall use the NACHA CCD+ entry with a TXP Banking Convention addenda record. The TXP Banking Convention addenda record requires the following information:

11.4.a. Taxpayer's identification number;

11.4.b. Tax type code;

11.4.c. Tax period end date;

11.4.d. Payment type; and

11.4.e. Amount of payment.

11.5. If a taxpayer repeatedly fails to provide the Department with a required addenda record that conforms to the requirements of the Department, the taxpayer may be required at the discretion of the Commissioner to use the ACH Debit method.

11.6. A taxpayer electing to use the ACH Credit payment method shall first determine the amount of tax due with respect to the tax type for which the payment is being made. At a time arranged between the taxpayer and the taxpayer's financial institution, the taxpayer shall provide the taxpayer's financial institution with the information necessary to initiate a timely ACH Credit transaction utilizing the NACHA CCD+ entry and the TXP Banking Convention. A timely ACH Credit transaction shall be initiated and posted as immediately available funds to the State of West Virginia’s bank account on or before the due date of the payment.

11.7. Taxpayers electing to use the ACH Credit payment method shall coordinate with their financial institutions to ensure that ACH Credit payments are timely initiated. Taxpayers shall consider the impact of prescribed ACH time frames and nightly cycles as well as the impact of weekends and holidays.

11.8. Taxpayers with a zero tax liability for a reporting period are not required to transmit a zero balance ACH Credit transaction. However, they shall file their tax return as noted in Subsection 12.2 of this rule.

11.9. Taxpayers electing to use the ACH Credit method, prior to receiving final approval to transmit ACH Credit transactions, shall provide prenotification and receive approval of the prenotification from the Department prior to making live transactions. Failure to do so leaves the taxpayer liable for any misallocated payments due to improperly formatted ACH Credit records.