When I was a freelancer, my tax bill was over $5,000.
While other folks celebrated their refunds, I was preparing to pay the IRS a hefty sum.
Even thebest credit cards for bad creditdon’t offer enough perks to make charging your tax bill worthwhile.
That’s exactly what I did when I faced this dilemma a few years ago.
But you’ll need to do some math to check that your credit card won’t cost you more.
How do you pay taxes with a credit card?
The fees are broken down in this chart on theIRS website.
The same fees will apply.
If you’re worried about security, though, using avirtual credit cardcan offer additional privacy.
Just be sure your credit card’s rewards rate exceeds the payment processor fee.
For example, if you’re paying with a credit card using Pay1040, the fee is 1.75%.
Otherwise, you’ll be better off signing up for an IRS payment plan.
But be careful, even if your card gives you more time to pay down your purchase.
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