How to Make a Monthly Payment Online to the IRS

Paying tax online has never been easier.

Many taxpayers who owe tax are unable to pay the balance in full and instead opt to set up an installment agreement with the Internal Revenue Service (IRS). An installment agreement allows a taxpayer to make monthly payments on the tax owed until the tax is paid in full. Also, in addition to those taxpayers who have installment agreements, there are other taxpayers who may opt to make monthly payments for a variety of other reasons. Thankfully, the IRS has instituted a variety of options for the online taxpayer.

Instructions

1. Logon to the Electronic Federal Tax Payments System (EFTPS) website and set up an account. Once you've logged on, click on the "enrollment" tab. Enter all the required fields for enrollment including your name, Tax Identification Number, and address. After your enrollment is complete, allow seven days to receive a PIN in the mail, after which time you can call [phone] to request a password.

2. Make monthly tax payments online by logging on and clicking the "Make a Payment" tab. EFTPS is available 24 hours a day, seven days a week. All payments made before 8 p.m. will post the same day. In addition, all payments made using the IRS's EFTPS system are free of charge. EFTPS allows you to schedule tax payments up to 365 days in advance. This means that you can set up the due dates for the money to be transferred to the IRS and relieve yourself of the hassle of making a payment every month. Your scheduled payments can be changed up to two days in advance. You can also check up to 16 months of your payment history on EFTPS by simply logging on to your account.

3. Use Official Payments Corporations or Link2Gov Corporation to make your monthly tax payments online. Both companies are contracted by the IRS to accept both business and individual tax payments online. Unlike EFTPS, both Official Payments Corporation and Link2Gov Corporation charge a convenience fee for their service and accept payment by both debit and credit card.

References

• Internal Revenue Service: The Secure Way to Pay Your Federal Tax Online
• Internal Revenue Service: Pay Taxes Online!
• Internal Revenue Service: EFTPS: The Electronic Federal Tax Payment System
• Internal Revenue Service:Pay Taxes by Credit or Debit Card

Resources

• Internal Revenue Service: Form 9465- Installment Agreement Request
• Internal Revenue Service: Payment Plans, Installment Agreements