Paying Taxes / Making Additional Payments Paying Taxes or Owed Balances Using IRS Direct Pay Direct Pay does not require registration and is mainly used to pay taxes owed on Form 1040, including withheld taxes, taxes owed after amendments, and payments after filing a Form 4868 extension. https://www.irs.gov/payments/available-payment-types-for-irs-direct-pay You can enter your email address to receive notifications from Direct Pay and track your payment status at any time. After using Direct Pay, you can check the payment status using the confirmation number provided by the system. Payments can also be modified or canceled up to two business days before the scheduled date. Paying with Debit/Credit Card If you choose to pay by credit card, the IRS works with three third-party payment processors, and each will charge a small fee. The comparison between these three options is shown in the image below. If you are paying business-related taxes, the credit card processing fees may be deductible. Any overpayment will be refunded by the IRS, unless you have other outstanding tax debts. Applying for an Online Payment Plan If you owe a large amount in taxes and cannot pay on time, you may apply for a Payment Plan (also known as an Installment Agreement), which is an agreement with the IRS to allow you to pay your tax debt over time. A payment plan can ease your tax burden slightly, but if you file after the tax deadline, you may still incur interest and late payment penalties. What Information Is Required to Apply? (The information must exactly match what is on your tax return) Full name, email, address, date of birth, filing status, tax amount owed, and one of the following: financial account number, phone number, or mailed activation code (takes 5–10 business days to receive by mail). The process to apply for a payment plan is similar to registering for an IRS online account. If you already have an account, you can log in directly. Payment Plan Types and Fees The type of plan depends on how much you owe and the estimated time you need to repay. During the application, you can choose your monthly payment amount, and the IRS may suggest an amount based on your income. If your tax debt is less than $10,000 and you have filed and paid on time for the past five years, you may qualify for a Guaranteed Installment Agreement, which is usually automatically approved by the IRS and requires full repayment within three years. Other cases generally fall into two types: Short-term Payment Plan and Long-term Payment Plan. How to Pay State Taxes Out of the 50 states, 41 impose a state income tax. Each state’s tax department provides online payment options (similar to IRS Direct Pay), and most of them do not require account registration. You can use the links provided in the chart above to make payments. You can also find links to all state tax department websites at this IRS page: https://www.irs.gov/tax-professionals/government-sites Important Notes About IRS Notices If the IRS believes there is a miscalculation in your tax return and determines that you owe more tax, they will send you a notice with a deadline for payment. You have three options: If you agree with the IRS’s calculation, you can simply pay the amount owed—no need to file an amended return (you can use any of the payment methods mentioned above). If you disagree with the amount, the notice will include IRS contact information. You may contact the IRS directly to discuss. If you plan to dispute the notice, be prepared to provide tax forms or income documents to support your position. In some cases, if you disagree with the IRS’s calculation, they may allow you to submit an amended return using Form 1040X. However, it’s best to contact the IRS first using the information on the notice.