Paying Taxes with a Credit Card


Last year we paid our federal taxes by credit card. Is it worth paying your taxes with a credit card? My husband is self-employed and we had a tax bill of about $30,000. I hate writing a check for taxes and getting nothing back. Taxes are hard enough to pay anyway, right? I decided I would try to get points for it last year. Let’s see if my efforts were worth it. Note: credit card offers were correct at the time of publishing this post but may have changed.

Credit Cards

You can use two credit cards to pay your tax bill so I picked ones with a big minimum spend. We each opened the American Express Business Platinum Card.

The offer at the time was 110,000 Membership Rewards per person after a $15,000 minimum spend. I also referred him from mine and got an additional 35,000 Membership Rewards.

These had a high annual fee of $595 but I could offset $200 of each with airline travel incidentals and another $200 with Dell credits. The Dell credits were $100 every 6 months. That brought the annual fee to $195 and included Global Airport Lounge Access. I love a good airport lounge and my hubby is now a convert to them too.

I got 1.5x the points on my tax spending so 45,000 points, 35,000 for the referral, and 220,000 for the welcome offers. The annual fee has gone up this year to $695 but the Dell credit has doubled.

Total points earned: 300,000 Membership Rewards

How to Pay Taxes

The IRS details sites that you can use to pay your taxes with a credit card.

Screenshot of IRS sites that let you pay taxes with credit card.


I chose PayUSATax and split my payment between both cards. My service fee was $294 for each payment so $588 total.


Screenshot of credit card bill

Doing the Math

I spent $588 on fees and I received 300,000 Membership Rewards. Most people value Membership Rewards at 2 cents apiece. I will use them for business class seats so they will be worth more than that. But just at 2 cents apiece, my 300,000 Membership Rewards are worth $6,000.  Definitely worth those fees I had to pay!

Most business class seats are about 70,000 points/miles each way. I can easily get at least 4 seats with my points. These could each be valued at $4,000+ so definitely worth paying my taxes by credit card! I will be doing this every year!


Bottom Line

Paying taxes is NOT fun! If you can get a bonus from doing it like points/miles, it takes a little of the sting out of it. I will continue to get a new credit card to pay my income taxes in the future as I found great value in it!



Folder, Federal taxes, pen, etc on desk

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