Can I pay my IRS taxes with a credit card?
The deadline for most US taxpayers to pay their bill to the IRS is fast approaching. Here’s a look at the multiple ways for you to settle with Uncle Sam.
The deadline to pay any taxes due to the Internal Revenue Service is Tuesday 18 April 2023. While the vast majority of US taxpayers can expect to get a refund this year, for some they will have to settle a debt with the agency.
Having a good grasp of how to properly pay tax is pretty important. Making sure you know the best way to pay your taxes will definitely come in handy.
Can I pay my IRS taxes with credit card?
The IRS offers multiple ways for you to pay off your taxes owed, among them is using a credit or debit card as well as a digital wallet. However, to use the service you will charged a convenience fee by the third party provider. The IRS provides a list of providers as well as a comparison of the fees that they charge.
There may be limitations on the number of times that you can use the service depending on the type of payment as well as form and tax year for which it is being made. Also special requirements may apply for transactions over $100,000. And not all taxes can be paid using a card such as the employer’s federal tax deposits which are excluded.
You might be interested in: Which states have extended the tax deadline? What are the new dates?
Here is a look at four other methods that you can use to pay the IRS…
Electronic Funds Withdrawal
Electronic Funds Withdrawal (EFW) is an integrated e-file/e-pay option offered only when filing your federal taxes using tax preparation software or through a tax professional.
- Use commercial software, a paid preparer, or IRS Free File to e-file your federal tax return and at the same time submit an EFW payment request.
- Upon selection of the electronic funds withdrawal option, a payment record will display for entry of payment information. Visit EFW Payment Record Instructions for details.
Direct Pay With Bank Account
Use this secure service to pay your taxes for Form 1040 series, estimated taxes or other associated forms directly from your checking or savings account at no cost to you.
However, this service is only available during these hours
- Monday to Saturday: Midnight to 11:45 p.m. ET
- Sunday: 7 a.m. to 11:45 p.m. ET
Cash at a Retail Partner
It is possible to pay your taxes in person with an IRS affiliated store. To do so, visit the ACI Payments, Inc. site and follow the instructions to make a cash payment.
- Dollar General
- Family Dollar
- CVS Pharmacy
- Walgreens
- Pilot Travel Centers
- 7-Eleven
- Speedway
- Kum & Go
- Royal Farms
- Go Mart
- Kwik Trip
Agreement to pay by installment
A payment plan is an agreement with the IRS to pay the taxes you owe within an extended timeframe. You should request a payment plan if you believe you will be able to pay your taxes in full within the extended time frame.
However, this method of paying your taxes will accrue interest, so it is better to pay what you owe in tax on time and through the myriad digital routes.
There is more information available on the IRS website of what the agency can offer as well as fees that come with paying by installment.