Paying Taxes By Credit Card!

Updated: Jul 10, 2018

Those that are Self Employed or those not having enough withheld from their paycheck can pay their taxes by credit card.

First off – the main caveat - and a mandatory disclaimer: you should only consider paying taxes with a credit card if you pay your card balances in full every month. If you do that, this is the article for you and you can actually make a profit! So read on.


You don’t have to worry about filling out a form 1040-ES correctly, mailing a check in and making sure it does not get lost, or posted to the wrong account or year! Paying by credit card is a seamless process.

Some credit cards will get you more than the processing fee of 1.87%. There are cards that will even get you up to 3%!

Of course the biggest benefit is the fact that you can open a card with a large signup bonus such as Chase Ink Plus or AMEX Platinum Business and don't worry about the minimum spend requirements since Uncle Sam will take care of it - and the sign up bonus is TAX FREE!"

For Business tax payments the fees are tax deductible so effectively the fee rate is even less than 1.87%!

Fee table:

Choose your Payment Processor

Bottom line:

If you pay your card balances in full, paying your taxes with a credit card can result in a profit.

Oh, and by the way, this opportunity is another great reason (among many) why it’s better to owe on your taxes then receive a refund.



New York, NY | |

Disclaimer: The content on this site is provided for information and discussion purposes only. It is not intended to be professional financial advice and should not be the sole basis for your investment, financial or tax planning decisions. Under no circumstances does this information represent a recommendation to buy or sell securities, or any other products, or services. Please note that some of the links on this website are affiliate links, and at no additional cost to you, Be Secure Financially will earn a commission if you decide to make a purchase after clicking through the link. Be Secure Financially recommends products/companies on this website/blog because they are useful and helpful to consumers looking to take control of their finances. All content and information is subject to change at anytime.

  • Facebook - Black Circle
  • Twitter - Black Circle
  • Instagram - Black Circle
  • Pinterest - Black Circle
  • LinkedIn - Black Circle

© 2018 - 2020 by Be Secure Financially, Israel Husarsky. Website Design and Management by MK Consulting Firm.