Asked by: Robyn Langeckerpersonal finance personal taxes
Can you pay your income taxes with a credit card?
Last Updated: 5th February, 2020
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In this way, how much does the IRS charge to pay with credit card?
The convenience fee for paying 2017 taxes with credit cards ranges from 1.87 to 2 percent of the payment, depending on the third-party service used. You can also pay by credit card if you use tax preparation software that has e-file and e-pay built in, though the fees tend to be higher.
Secondly, what forms of payment does the IRS accept? The IRS offers various options for making monthly payments:
- Direct debit from your bank account,
- Payroll deduction from your employer,
- Payment by EFTPS,
- Payment by credit card via phone or Internet,
- Payment via check or money order, or.
- Payment with cash at a retail partner.
In this regard, does it make sense to pay taxes with credit card?
Your ongoing rewards are higher than the processing fee But, of course, there are exceptions. If your credit card rewards are higher than that processing fee, paying taxes with a credit card to earn rewards could make sense, Allen says.
How do I pay the IRS with a credit card?
You'll Pay Fees The IRS doesn't accept credit card payments directly; instead, it has licensed several payment processors to accept credit card payments on its behalf. These companies charge an additional fee on top of your tax bill — usually around 2%. As you can see, Pay1040.com has the lowest fee: 1.87%.