Paying Taxes: Does The IRS Take Plastic?
Have your clients ever inquired about paying their federal tax bill with a credit card or debit card? Drake provides two options to help your client pay their taxes electronically - Integrated File and Pay and the Drake e-Payment Center. Here’s an overview of each service:
• Integrated File and Pay (IFP) — IFP is a fast and secure way to pay a tax due amount by credit or debit card when the return is e-filed. The payment is authorized before the return is e-filed and is processed after the return is accepted. The payment process is easily initiated from within data entry on the tax return’s EPAY screen – once you have completed the return, enter the taxpayer’s credit or debit card information on the EPAY screen and initiate authorization of the payment prior to e-filing the return. Once the e-filed return is accepted by the IRS, the credit or debit card is charged and the taxpayer is notified via email.
- E-filed Form 1040, U.S. Individual Income Tax Return
- E-filed form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return
• Drake Software e-Payment Center — The e-Payment Center, www.1040paytax.com, is a great option for taxpayers who choose to pay their tax bill at their own convenience after the return is filed. Unlike IFP, this option is not integrated with the e-file process; instead, taxpayers can simply go to our e-Payment Center at any time to make their payment. In addition to Form 1040 and 4868 payments, many other payment options are available at the e-Payment Center, including year-round quarterly estimated tax payments.
These options are offered through our partnership with Value Payment Systems (VPS). VPS hosts and maintains the IFP solution and the E-Payment Center website. VPS is partnered with RBS WorldPay, one of three companies authorized by the IRS to process tax payments.
Drake Customers: For more information, log in to your online Drake account at www.Support.DrakeSoftware.com and select Partner Programs > Pay Taxes with Credit Card.