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Tax Payments
Tax FAQs: Frequently Asked Questions
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Why is the IRS accepting electronic payments from individuals? |
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The goal is to give taxpayers a wide range of ways to make balance due payments. The choice remains with you about whether to pay by payment card, direct debit, check, money order or any other payment method accepted by the payment provider. |
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If I use my MasterCard card to make a balance due payment, when is my payment due by? |
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For tax year 2007, your tax payment must be made by midnight April 15, 2008 in order to be considered timely. |
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Why use IRS e-file? |
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- Electronic Payment Options! Convenient, safe and secure electronic payment options are available. e-file and pay in a single step.
- Accuracy! Your chance of getting an error notice from the IRS is significantly reduced.
- Proof of Acceptance! You receive an electronic acknowledgement within 48 hours that the IRS has accepted your return for processing.
- Security! Your privacy and security are assured.
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Can a Federal tax obligation be discharged in bankruptcy court? |
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No, an individual's federal tax obligation cannot be discharged in bankruptcy court. An individual will be required to make full payment on this tax obligation.
Consult your tax professional to discuss your particular situation.
For additional information on federal tax payments and IRS e-file, contact one of the resources listed below:
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What information will I need to have available to make payment with my MasterCard card? |
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When prompted (either by the IVR phone system, or online at the payment provider website) you will need to enter the following information:
- Taxpayer ID (primary social security)
- Payment amount (in whole dollars) based on the balance due
- 16 digit MasterCard card number
- MasterCard card expiration date
- Zip code where monthly MasterCard account statement is mailed
- Daytime telephone number
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How will my federal tax payment transaction be posted on my MasterCard card account statement? |
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When your monthly account statement arrives there will be two separate entries related to the tax payment transaction - the first entry will contain the amount of tax paid and identify the payee as "US Treasury Tax Payment" - the second entry will contain the convenience fee amount and be identified as "Tax Payment Convenience Fee." |
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What types of Federal income taxes can I pay with a MasterCard card? |
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- Tax Year 2007 Form 1040 series balance due payments
- Tax Year 2007 Form 4868 (automatic extension of time to file) payments
- Tax Year 2007 and8 Form 1040-ES (estimated tax) payments
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What states currently accept MasterCard for the payment of state income taxes and business taxes? |
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View the What Can Be Paid page for a list of the states and what taxes can be paid there. |
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Can a taxpayer make a payment for delinquent tax balances? |
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Yes, taxpayers who have an installment agreement with the IRS can make card payments for delinquent taxes (for 2004, 2005, and 2006) by having an installment agreement with the IRS. |
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Can a taxpayer set up installment agreements for the current year (2007) and pay with a MasterCard card? |
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Yes, they can set this up with the IRS first and then make a card payment once the installment agreement is active. |
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Can a taxpayer make payments on a delinquent 2007 balance due? |
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Yes, payments can be made January 1, 2008, 9 a.m. ET through December 31, 2008, 7a.m. ET. You can use your MasterCard card to pay your 2007 federal income taxes by phone or via the Internet. To proceed with payment over the phone, call one of the providers listed below and follow the IVR system prompts. To make payment online, visit one of the provider websites listed below.
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How will I know what fees will be assessed to my card payment transaction? |
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After you have entered the payment amount, the system will disclose the convenience fee. The fees may vary depending upon the taxes due and the payment provider selected. At this time, you will have the option to terminate the session or proceed with the card payment transaction. |
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If I have a question about my federal tax payment made by phone or online, who can I contact? |
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Depending upon the payment provider selected, taxpayers can call the following toll-free numbers for questions about specific tax payment transactions.
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If I have a problem with my MasterCard card payment, who can I contact? |
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MasterCard recommends that you contact the bank (your issuer) for questions related to billing and fees that appear on your MasterCard account statement. For specific questions relating to federal taxes you can call the IRS at 1-800-829-1040 or visit www.irs.gov. |
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Who should I call if I have questions about the amount of tax owed on my tax return? |
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Taxpayers can reach the IRS directly by calling 1-800-829-1040. |
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What types of taxes can businesses pay with a MasterCard card? |
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Businesses may pay their Annual Unemployment (Form 940) and Quarterly Employer Return (Form 941) balance due return with a card. Starting January 1, 2008, Trust Fund Recovery Penalties will be accepted for tax years 1997 and after. These penalties are assessed to a business or individual who willfully fails to collect or pay withheld income, employment or excise taxes.
In 2008, the IRS is accepting these penalty payments from individuals only. The individual or person assessed the penalty may be an officer of a corporation or a partnership, a corporate director, etc. Once the IRS assesses the penalty, the responsible person will receive a notice and demand for payment.
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