Have you avoided paying your tax bill with a credit card because you just couldn't bear paying any more than you must to anyone on April 15th? I suspect many of you fall into this category, as do I. Even if the dollar amount is small, the thought of paying an additional 2.49% to cover the fee charged by credit card companies always makes me cringe. So, I continue to pull out the trusty checkbook, dust it off, and write one of the handful of checks I send out each year.
Should I Pay My Taxes With Plastic?
Tax week is here again! And in a last-ditch effort to boost future e-payment numbers, the IRS recently announced that some taxpayers will now be allowed to deduct the convenience fees card companies charge to process electronic tax payments. The IRS has made it easier than ever to pay your tax bill with plastic, and now you might even be able to deduct the fee, so why not go ahead and settle your debt with Uncle Sam by whipping out your favorite credit card? While the ease of paying online is tempting, paying your taxes with plastic is generally a poor decision.