Yes, you can pay the IRS with a credit card, but you'll pay a processing fee
The IRS accepts credit card payments for federal income taxes, estimated tax payments, and other tax debts. You cannot pay directly through the IRS website with a card — instead, you use a third-party payment processor that the IRS has authorized. These processors charge a convenience fee (usually 1.87% to 2.35% of your payment) that you pay on top of your tax bill.
The main reason to use a credit card is if you don't have the cash available right now but can pay off the card quickly. The fee makes sense only if your card's rewards rate or your ability to defer payment outweighs the cost. If you have the money in a bank account, paying by direct debit costs nothing.
Key Takeaways
- The IRS works with three authorized payment processors: Official Payments, Paypal, and Worldpay, each charging a different fee percentage.
- You must use one of these three processors — there is no way to pay the IRS directly with a credit card through their website.
- The convenience fee is not tax-deductible and ranges from roughly $2.50 on a $100 payment to $235 on a $10,000 payment.
- Paying by electronic bank transfer (ACH debit) through the same processors costs nothing and takes the same amount of time.
- Your credit card payment posts to your IRS account within one business day, but the IRS may take several days to update your balance.
The three authorized payment processors and their fees
Official Payments charges 1.87% of your payment amount. For a $5,000 tax bill, that's $93.50 on top of what you owe. They accept Visa, Mastercard, American Express, and Discover. You can pay through their website (officialpayments.com) or by phone at 1-800-2PAY-TAX (1-800-272-9829).
Paypal charges 2.35% of your payment. For the same $5,000 bill, that's $117.50. You need a Paypal account to use this route. Go to paypal.com/invoice and select "Pay Taxes" to set up the payment. Paypal accepts all major credit cards.
Worldpay charges 2.00% of your payment, making it the middle option. For $5,000, that's $100. You can pay through their website (payUSAtax.com) with Visa, Mastercard, American Express, or Discover.
All three processors charge the same fee regardless of whether you're paying income tax, self-employment tax, or a tax penalty. The fee applies to the amount you're paying, not to your total tax bill. If you owe $10,000 but can only pay $3,000 now, you pay the fee only on the $3,000.
How to set up a credit card payment step by step
First, gather your information: your Social Security number or employer identification number (EIN), your tax year, and the amount you want to pay. You'll also need your credit card number and billing address.
Go to the website of whichever processor you choose (Official Payments, Paypal, or Worldpay). Select the option to pay federal taxes. Enter your SSN or EIN and the tax year the payment is for. The processor will ask whether you're paying income tax, self-employment tax, a penalty, or another type of tax debt — select the correct category. Enter the payment amount and your credit card details.
Review the fee before you confirm. The processor will show you the total amount that will be charged to your card (your tax payment plus the convenience fee). Once you confirm, your payment is submitted when ready. You'll receive a confirmation number — save this for your records.
The charge appears on your credit card statement within one business day. The IRS receives the payment within one business day as well, but it may take several additional days for the IRS to post it to your account and update your balance on their website.
When a credit card payment makes financial sense
A credit card payment costs money, so you should only use it if the benefit outweighs the fee. If your card earns 2% cash back and you're paying a 1.87% fee, you're breaking even — the cash back covers the cost. If your card earns 3% or more in rewards, you come out ahead.
Another reason to use a card is timing. If you don't have the cash now but will in a few weeks, paying with a card lets you meet the IRS important date while you wait for funds to arrive. Just make sure you can pay off the card before interest charges kick in — credit card interest (typically 15% to 25% annually) will quickly exceed the convenience fee.
If you're paying a large bill and your card has a spending cap or credit limit, you may need to split the payment across multiple cards or multiple transactions. Each transaction incurs its own fee, so this approach costs more.
Why paying by bank transfer costs nothing
All three processors offer an ACH debit option (direct withdrawal from your bank account) at no cost. This takes the same amount of time as a credit card payment — your bank account is debited within one business day, and the IRS receives the payment just as quickly. If you have the money in your account, this is always the cheaper choice.
To pay by bank transfer, go through the same processor website and select the ACH debit option instead of credit card. You'll need your bank routing number and account number. The payment posts the same way: to your IRS account within one business day.
What happens if your payment is late or incomplete
If your payment arrives after the tax important date, the IRS will assess a late payment penalty and interest on the unpaid balance. The credit card payment itself arrives on time if you submit it by the important date — the fee doesn't change the timing. However, if you're paying less than you owe, the unpaid portion still accrues interest and penalties.
If you can't pay the full amount, you can set up a payment plan with the IRS instead. A payment plan lets you pay in installments over time, though the IRS charges a setup fee for this option as well. A credit card payment doesn't prevent you from setting up a plan later if your circumstances change.
Frequently Asked Questions
Can I pay estimated tax payments with a credit card?
Yes. Use the same three processors and follow the same steps. When you enter your information, select "estimated tax payment" as the payment type instead of income tax. The fee structure is identical.
What if I want to pay a penalty or back taxes from a previous year?
All three processors handle penalties and prior-year tax debts. When you enter your information, specify the tax year the debt is from and select the correct payment category (penalty, income tax, etc.). The fee applies the same way.
Do I get a receipt or confirmation that the IRS received my payment?
Yes. The processor gives you a confirmation number when ready after you submit the payment. Save this number. The IRS will also send you a notice once the payment posts to your account, though this can take several days. You can check the status of your payment on the IRS website using your SSN or EIN.
Can I use a debit card instead of a credit card?
Most debit cards are processed as credit cards by these payment processors, so yes. You'll still pay the convenience fee. If your debit card is linked to your bank account, using the ACH debit option instead costs nothing.
What if the processor's website is down or I can't complete the payment?
Official Payments and Worldpay both offer phone payment options. Official Payments can be reached at 1-800-2PAY-TAX. If you're having trouble, call the processor directly — they can walk you through the payment over the phone and may be able to troubleshoot technical issues.