As the tax deadline draws closer, the IRS is reminding taxpayers to consider secure electronic payment methods when settling their federal tax bill. These digital options are not only fast and safe, but also help taxpayers avoid unnecessary penalties and interest.
As part of its seasonal Tax Time Guide, the IRS recently released a new update encouraging taxpayers to use electronic payment methods when submitting their federal taxes.
Why Go Electronic?
Making electronic payments can be a smart move, especially as filing season heats up. According to the IRS, digital options help taxpayers:
- Avoid missed deadlines by scheduling payments in advance
- Receive instant confirmation of payment submission
- Track their balance and activity via a secure account
- Minimize risk of interest or penalties from mailing delays or lost checks
These tools offer more control and peace of mind, particularly when used in combination with your IRS Online Account.
IRS Electronic Payment Options Explained
The IRS offers several trusted methods for paying taxes electronically:
- IRS Direct Pay – Pay directly from your checking or savings account without fees.
- Debit or Credit Card Payments – Make a payment online or by phone through authorized processors (note: fees apply).
- Electronic Federal Tax Payment System (EFTPS) – Often used by business taxpayers for recurring or scheduled payments.
- IRS Online Account – View your balance, manage payment plans, and track payments in one place.
While these tools are widely available, they’re not always straightforward—especially if you’re managing multiple tax years or complex obligations. That’s where professional insight makes all the difference.
Avoiding Penalties & Interest: What to Know
Even if you’re granted an extension to file your return, your payment is still due by the tax deadline (typically April 15). Late payments, even by a few days, can trigger penalties and interest charges.
✔ Tip: If you can’t pay in full, it’s better to pay something than nothing. Partial payments reduce how much interest and penalty you’ll owe over time.
If you’re unsure where you stand or what options apply to you, we recommend reviewing your status through your IRS Online Account—and then talking to a tax advisor to build a plan that works for your situation.
How We Can Help
Digital IRS tools can be incredibly useful, but they don’t replace real insight. At Torkelson & Associates CPAs, LLP, we help clients determine the best way to meet their tax obligations—whether that involves payment strategies, penalty mitigation, or IRS correspondence.
We’ll help you understand your options, avoid costly mistakes, and guide you through every step.
Contact us today to schedule a consultation with one of our tax professionals.