I’ve written before on how to use the Delta debit card to earn miles while paying taxes and how to select the top credit cards to use to pay your taxes. Frequent Miler has also written on how to use gift cards to pay your taxes. You do pay a fee for using a credit card to pay your taxes, but it could be worth it to complete the minimum spending on your credit cards or to earn airline and hotel perks.
The IRS website suggests that you can make 2 estimated tax payments per quarter using a credit card, but readers commented that you can make more payments with a credit card or a gift card by:
- Using each of the 4 different tax payment providers to make 2 estimated tax payments per quarter online for a total of 8 online payments
- Calling each of the 4 payment processors and have them process additional payments over the telephone
Note that not all providers offer the same fee for using a credit card and the flat fee of $3.49 for using your debit card.
But talk to YOUR accountant or lawyer before making more than 2 payments per quarter with a credit card towards your quarterly taxes, since the IRS rules aren’t very clear on what is the maximum number of payments allowed. Continue reading