Here are the different ways people can pay their federal taxes
- March 23rd, 2022
The April 18 deadline for individuals to file and pay their federal income tax is just around the corner. While paying taxes is not optional, the IRS offers a variety of ways for people to pay their taxes.
Some taxpayers must make quarterly estimated tax payments throughout the year. This includes sole proprietors, partners, and S corporation shareholders who expect to owe $1,000 or more when they file. Individuals who participate in the gig economy might also have to make estimated payments. Taxpayers can pay all of their 2022 estimated taxes by April 18, 2022 or in four quarterly installments due April 18,2022, June 15, 2022, Sept 15, 2022 and Jan 17, 2023.
Here are five ways people who owe taxes can pay it. They can:
• Pay when they e-file using their bank account, at no charge, using electronic funds withdrawal.
• Sign into their Online Account to pay their 2021 balance, estimated taxes, or payment for an extension to file. Taxpayers can also see their payment history, any scheduled or pending payments, and other account details.
• Use IRS Direct Pay to pay electronically directly from their checking or savings account. Taxpayers may choose to schedule a payment up to 365 days in advance. They can choose to receive email notifications about their payments when they pay this way.
• Pay using a payment processor by credit card, debit card or digital wallet options. Taxpayers can make these payments online, by phone.
• Make a cash payment at more than 60,000 participating retail locations nationwide. To pay with cash, taxpayers should visit IRS.gov and follow the instructions.
• Pay over time by applying for an online payment agreement. Once the IRS accepts an agreement, taxpayers can make their payment in monthly installments.