You can pay your IRS tax debt by credit card but before you do you should find out whether IRS can settle your tax debt through an offer in compromise.
Before you start making phone calls to attempt to settle your tax debt you must offer IRS at least the total equity in all your assets.
So if all your assets equal $30,000 your attempt to settle your tax debt with the Internal Revenue Service has to be at least $30,000.
How to Pay IRS by Credit Card
You can pay by debit or credit card whether you e-file, paper file or are responding to a bill or notice.
It’s safe and secure – the IRS uses standard service providers and commercial card networks.
Your payment will be processed by a payment processor who will charge a processing fee, which may be tax deductible. The fees vary by service provider.
Your information will only be used to process your payment.
No part of the service fee goes to the IRS.
The types of payments (Individual or Business) and limits on how many debit or credit card payments you can make in a year, quarter, or month, vary according to the type of tax you are paying.
How to Make a Payment
You can pay by debit or credit card by internet or over the phone. Please note that debit or credit payments cannot usually be cancelled.
Step 1: On IRS.gov
- Choose a payment processor
- Select processor website or phone number
Step 2: With your Payment Processor
- Select payment type
- Enter personal or business information
- Enter billing information
- Review and confirm information
- Record payment confirmation number
If you like to learn more about settling your IRS tax debt contact us today for a free initial tax consultation.
Pay IRS By Credit Card or Can You Settle Your IRS Tax Debt
