As each year begins, in addition to the other responsibilities we have, we know that the date to pay our taxes is approaching. Generally, that date is between March and April, but it is the Internal Revenue Service that determines when you are allowed to pay taxes without receiving late penalties. We often have doubts as to whether our IRS payments have been processed correctly throughout whatever method we use.
We tend to get confused if we request extensions, but remember that extensions are only for filing your tax returns, payments must be made on the due date corresponding to your form. If we pay on the last day, we may have doubts whether it will be processed that same day or we will have to wait and consequently have to pay penalties for non-compliance on the payment date.
Read on for more information on your IRS payments.
How much time do I have to wait to see the payment on my tax account?
The IRS processes your payment immediately. It is important for you to remember that your payment must be authorized and completed to be effective. The way to find out is by receiving confirmation of it, either by email or depending on the payment method you have chosen.
Although your payment is processed immediately, it takes the IRS approximately 5 to 7 days to post the payment in your tax account.
This means that even if the IRS delays, your tax liability compliance date is the day your payment was authorized and completed (that is, the day you paid).
For instance, if you pay on your due date and the payment is completed successfully, you will not be subject to late payment penalties, although the IRS will post the payment on your tax account 7 days later.
Ways to make the IRS payments
On the other hand, if you haven’t paid yet when it comes to meeting your tax liability, the IRS offers several options to do so:
Direct Pay is one of the most used options to pay through a bank account, at no additional cost. This method is used to pay, in principle, the taxes of Form 140. However, by clicking here, you can verify payments that you can make with Direct Pay.
One of the advantages of using this method is that you can schedule payments up to 30 days before your due date. In case you want to cancel it or change something, you can do it up to 2 days before the date you scheduled.
Once you make the payment, you can request the information to be sent to your email.
Debit and Credit Cards
Another very simple and easy way to make your IRS payments is with your credit or debit cards. The way to do this is only through the payment processors authorized by the IRS: ACI Payments Inc., Pay1040.com, PayUSATax.com
It’s worth noting that, unlike Direct Pay, when using these payment processors, you will be charged an additional fee. In the case of credit cards, the fee is a percentage of your payment and if you pay with a debit card it is a fixed fee for using this service.
The rates are not usually that high and depending on your tax situation, you can include them in the deductions of your return.
Money order or Check
It is also possible to make the IRS payments through Mail. The only way is through a check or money order; it is not acceptable to send cash.
You must send, in an envelope, your form and the check or Money order (and other documents if applicable), but don’t fill them. Once you have everything ready, you must send it to the corresponding addresses depending on where you live and the form.
The addresses can be found on the official IRS website. We recommend that you review carefully since addresses change periodically.
Electronic Tax Federal Payment System (EFTPS)
To make your IRS payments with EFTPS the procedure is similar to Direct Pay. There are no additional fees and you can schedule your payments but this time up to 365 days in advance. You can also change or cancel your payments up to two business days before the date you scheduled before.
Payments are made directly from your bank account and at the time of payment, you will receive an email with the confirmation. Before making payments you must enroll with the EFTPS.
Although there are many things you can do online, if you are not familiar with it or just don’t feel comfortable doing it that way, you can make your IRS payments in person.
Fill out your form and go to the local IRS office, you may have to wait a long time due to crowds, so we recommend making an appointment before going.
Can someone else make an IRS payment on my behalf?
Yes, it’s possible. It is completely valid if your parents or a close friend want to help you with the payment of your taxes.
When making the payment, they must put some specific information, such as the cardholder’s first and last name, as well as their date of birth and Social Security number or Individual Taxpayer Identification Number (ITIN). Likewise, the account number of the card, its expiration date, and the zip code of the account for which taxes are being paid.
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